Amex's Prepaid Card Is Aimed at Parents of Teenagers and Students.
Who the American Express PASS Prepaid Card Is For
- Parents who want to provide spending money to their children.
Credit Rating Required
- No credit check required.
About the American Express PASS Prepaid Card
Pros
- Parents get to control and monitor children's spending.
- No reload fees.
- Easy online reloads from bank account or American Express card.
- No monthly fee until Oct. 1, 2011.
- Merchandise purchased with card covered by Amex Purchase Protection.
- Free roadside assistance.
Cons
- Funds on card are not FDIC insured.
- Amex cards are generally not as widely accepted as MasterCard and Visa cards.
Reload Limit
- Maximum balance at any time: $2,500.
- Maximum load in any 28-day period: $2,500.
Fees
- Monthly fee: $3.95, waived until Oct. 1, 2011.
- No reload fee.
- ATM fee: $1.50; maximum withdrawals $200.00 per week.
- Customer service: Free.
American Express PASS Prepaid Card Review
American Express's new prepaid card is aimed at a specific audience, namely parents of teenagers.
Rather than handing your teen an Amex card and run the risk of them going wild, this card allows parents to load a set amount of money on the card - up to $2,500 a month - for their kids' spending money. Parents can track spending and receive e-mail alerts about card activity.
The card is accepted wherever Amex cards are, and there is a maximum $200 a week that can be withdrawn from the card at an ATM machine. The ATM withdrawal function can be disabled.
The American Express PASS Prepaid Card is reasonably priced at $3.95 a month. The only other fee is $1.50 for ATM withdrawals, which is lower than most other prepaid cards. And it's easy to reload the card, either online or by phone using a bank account or an American Express card. There are no reload fees.
The PASS card has other benefits. If the card is lost or stolen, Amex promises to replace the funds. Cardholders are protected by Purchase Protection and Roadside Assistance. In addition, you can use the card to shop at Amex's online Rewards Mall.
Recommendation
This is an excellent way for parents' to provide money to their kids and keep tabs on their spending activity. The fees are low, and the card comes with lots of worthwhile benefits.