Justin Bieber Prepaid Card Hits the Market
Meet Justin Bieber, financial spokesman.
A new prepaid card is available called SpendSmart is being heavily promoted by none other than the teen heartthrob.
Bieber is using his social media army, reportedly comprised of 30 million Twitter followers and 48 million Facebook fans, to help promote the SpendSmart prepaid debit card. Bieber has released the first of a series of videos which will underscore the need for responsible spending by teenagers.
In one of his videos, Bieber says “You know when I was a kid, we didn’t have a lot of money, so me and my family had to watch the money that we spent. I learned if you have $100 or $100 million–if you spend more than you have, you’re going to go broke.” Bieber’s card is supposed to teach teens how to properly manage their money, under the supervision of their parents.
Bieber will also give cardholders the opportunity to win some unique experiences.
SpendSmart is set up with a unique feature that allows parents to get a text message or email every time their children make a charge on their card. This is designed to help keep the parents in control of the child’s spending, while giving young adults a chance to learn about budgeting and money management.
But there are a number of fees that come with the SpendSmart card.
- The card has a monthly fee of $3.95.
- Loading charges of $2.95 from a debit or credit card; $0.75 from a checking or savings account.
- Replacement fee of $7.95.
- ATM charges of $0.50 per balance inquiry and $1.50 per withdrawal.
- If the card is inactive for 90 days, there is a $3 inactivity charge.
What does Bieber get out of all this? We’d love to say it was the pure satisfaction of shaping America’s youth. In reality though, the singer was reportedly paid $3.75 million for his participation in SpendSmart’s marketing, largely because of his vast social media following. Bieber also has stake in some of SpendSmart’s stock for his 14-month contract.