| November 9, 2010

Kardashians launch new prepaid card

Credit card companies have been harnessing the power of celebrities to steer customers toward prepaid debit options, and now reality television’s Kardashian sisters are entering the action.

The Kardashians’ likeness will appear on the new product by credit card issuer MasterCard.

The Kardashians, whose TV series “Keeping Up With the Kardashians” is currently in its fifth season on the E! network, are the latest celebrities to issue their own prepaid card. Russell Simmons, Amar’e Stoudemire and Lil Wayne, are among the others, according to the Huffington Post.

“It’s good that celebrities are raising awareness of reloadable prepaid cards,” Patrice Peyret, CEO of Plastyc Inc., told the Post. “These cards are a good way for teenagers to handle money more responsibly than borrowing Mom’s or Dad’s credit card, provided parents can supervise and control their teen’s prepaid card account.”

The new cards work similarly to debit cards except they do not require a bank account. Money can be loaded and spent in stores or online. However, like credit cards, many come with a host of fees, including activation, monthly use, ATM withdrawal and transaction charges.

The new Kardashian card is available on November 10.

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