TechCrunch has just spotted a new Revolut product:
an app linked to a bank card designed for users under 18. Everything is, of course, controlled via the Revolut app installed on the smartphone of at least one of the legal guardians.
Revolut is suitable for 7-17 year olds
Is a bank card useful for a 7-year-old? Everyone is entitled to their opinion on the matter. Nevertheless, Revolut aims to undercut traditional banks. For children who are getting smartphones at increasingly younger ages, it can provide a safe place to store pocket money and some savings. For parents, it allows them to maintain control over their children’s spending.
Revolut, for its part, seems to believe that at 7 years old, a child is capable of having their own card. This card is called “ Revolut Junior ” and can be linked to a dedicated app for young children . Parents, however, must be Revolut customers to create their child’s account and then manage it directly from their app.
Parents can thus monitor their children’s spending, disable online purchases, and receive notifications whenever their child uses their card. A feature also allows them to instantly add money to their account. This helps empower children and teach them, over time, how to manage money.
A well-thought-out strategy
Currently, Revolut boasts over 10 million users worldwide. Having raised $500 million, the largest funding round for a fintech company in Europe , the neobank seems determined to attract new customers. Its strategy is quite well thought out. Currently, if parents who are customers open an account for each of their children between the ages of 7 and 17, there’s a good chance that many of those children will remain customers of the neobank once they reach adulthood.
This is an approach similar to that of traditional banks for many years. However, the trend has reversed, and traditional banks today resemble grocery stores where products are prioritized over the customer experience. A child will have a separate, fully functional account, will have to use the same login platforms as adults, with a complex interface far removed from the ease of use of the apps they already know. Since children are getting smartphones at increasingly younger ages, it makes sense to create a streamlined, simple, and fun Revolut app.
Currently, Revolut Junior is only available to Premium and Metal customers, and only in the UK. If the UK market proves successful, Revolut is expected to soon make the service available to more users in more countries.
To expand the offering of Revolut Junior, the neobank is considering offering children the possibility to save and review their spending.
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