Cashless Payment Services for Children Growing in Japan

Tokyo, Aug. 20 (Jiji Press)–Cashless payment services for children are increasingly available in Japan, allowing parents to check their children’s balances and spending history through an app to prevent excessive spending. They are also attracting attention as a financial education tool that helps children learn how to manage their allowances and spend money systematically as Japan becomes increasingly cashless. In July, Seven Bank began offering a prepaid card and a dedicated app for children aged 6 or older. Parents can load their children’s allowance onto the card via the app and review their spending history. Notifications are sent whenever the card is used. The app has a feature to send money to children as a reward for achieving goals, such as completing chores. “With cashless payments, it is difficult to realize that money is finite,” a Seven Bank official said. The bank aims to help children develop decision-making skills by encouraging them to think about how to use a certain amount of money and earn rewards by completing tasks. “We’re happy if children become Seven Bank customers in the future (after using this app),” the official added. Sumitomo Mitsui Card Co. has also introduced a prepaid card and a dedicated app called “Kazoku no Osaifu,” which allows money transfers between family members and balance management. Rakuten Card Co. offers a prepaid payment service for families via smartphones. Sony Bank issues debit cards that can be used by individuals aged 12 or older for shopping if the account belongs to a family member. END [Copyright The Jiji Press, Ltd.]