Sterling Bank has announced the launch of two new prepaid card products, with one aimed at students.
Sterling revealed in a recent statement that the cards function at ATMs worldwide and utilise Visa’s debit network, as well as being able to receive direct deposit of payroll and government payments.
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According to the Washington state-chartered bank, the student cash card in particular enables parents and guardians to transfer funds straight into its balance, introducing young people to an education in financial-management.
Young cardholders are not the only ones who may see their financial decisions guided by prepaid budgets.
By drawing exclusively from the balance loaded onto them by the cardholder, rather than linking directly to a deposit account, and by offering text or email alerts, Sterling maintains the cards help manage spending, as well as removing the danger of unexpected overdraft fees.
Patricia Baughman, senior vice president and director of corporate product management and market research at Sterling Bank described them as "a great budgeting tool, offering a means to control spending".
"Sterling’s prepaid cards offer an affordable alternative for those who want a traditional checking account" she said.
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