A Paypal student account makes it easy for parents and students to manage spending and easily add money to the account as needed. Here is how to set up a Paypal student account and use it.
A Paypal student account is a sub account of the parents' Paypal account. The student gets a debit Mastercard with his or her name on it that they can use to shop in stores or online anywhere the debit Mastercard is accepted.
Checking balance via cellphone
A Paypal student account helps students learn to manage money because they can't spend more than they have in the account. That means there are no overdraft fees for parents to worry about. The account is available to teens as young as 13 as long as the parent sets up the account. Students can check balances via cellphone at any time or sign up for automatic mobile notifications when the account balance reaches whatever level they set. The Paypal student account gives students the freedom to buy what they need without having to ask parents for money all the time. Parents can set up an automatic transfer in case the balance gets too low, and the money is immediately available for use in the student's account. In case of emergency, students can text parents for a one time transfer than can be completed in seconds.
Parents have most of the control over Paypal student accounts. They are able to set account limits and change them at any time. They also control the account password and can change it as well. Parents can stop student spending at any time, and have visibility of all transactions made. Parents can set the account to receive notifications and automatic alerts to email or mobile devices in case of high spending or low balance. For convenience, they can set up recurring transfers, or control when transfers are made and the amount. Parents can also reset alert levels at any time, and can receive and execute transfer requests via computer or mobile phone so they don't have to slow down to manage the account level.
Several safety features have been included in the Paypal student account. There is a daily limit of $150 on ATM withdrawal, and $500 on purchases. Students can't transfer money into the account, only parents can. Maybe most important, there is no credit feature available. That means students can only spend what is in the account, unless more funds are transferred in. The student Paypal account has no fees to set it up. There are no fees to transfer funds or make purchases from the Paypal account or linked bank account. There is a $1 ATM fee (plus any ATM machine fee).
Having a Paypal student account helps teens learn the important skill of managing their money. It gives them the freedom to pay for items with their own debit Mastercard and keep an eye on their balance. It gives the parents the convenience and safety of controlling the account, but eliminates annoying transfers every time the student needs money. Consider the student Paypal account if you are a teen or student, or are the parents of one.