Tuesday, June 5, 2012

BB&T launches prepaid card for teenagers

BB&T has introduced a new prepaid debit card aimed at teenagers, the Winston-Salem bank's second offering in a part of the market growing increasingly popular.

The card carries a $3 monthly maintenance fee, less than the $10 or $5 charge the traditional prepaid debit card carries.

Prepaid cards have become increasingly popular as fees rise on traditional checking accounts. A study from Javelin Strategy and Research showed that prepaid card use rose 18 percent in 2011. The Consumer Financial Protection Bureau has recently turned its attention to the product and is seeking to write new regulations governing their fees.

Wells Fargo and Regions Bank also offer consumer prepaid debit cards.