Shortly after its launch, the Kim Kardashian Kard, touted as a way for teens and parents to learn money management skills, was pulled from the market.
From the minute this product was first launch, it started quite the backlash from parents who aren’t completely stupid, the Connecticut Attorney General as well as the personal finance community so it’s no wonder the card didn’t have quite the market or buzz the Kardashians expected. Let’s take a look at the card, it’s features and why it failed.
The Kard and it’s features
The card was more suited to teens like the Kardashians, with plenty of disposable income and no real yearning to learn money management skills.
The Fee Structure:
- Card Purchase (Includes monthly fees for 6 months) $59.95
- Card Purchase (Includes monthly fees for 12 months) $99.95
- Monthly Fee (Applies after initial purchase period) $7.95
- Card Replacement – Primary or Companion $9.95
- ATM Withdrawal – Domestic $1.50
- ATM Inquiry or Decline – Domestic $1.00
- ATM Withdrawal – International $2.50
- ATM Inquiry or Decline – International $2.00
- Point of Sale – Decline -Domestic $1.00
- Point of Sale – Decline – International $1.00
- External Checking or Savings Transfer (To/From) $1.00
- Account to Account Transfer * $1.00
- Retail Load Fee (MoneyGram) $1.00
- Load Account by Debit/Credit Card ** $1.00
- Cancel Account – Request Balance Mailed by Check $6.00
- Service Center Care-Live operator $1.50
- Bill Pay – Per Item $2.00
- Replacement Card Expedite Fee (Overnight) $25.00
* Fee for transferring money from external accounts and to other cardholders accounts
** 2.5% surcharge of transaction amount applies
Plus additional fees for customer service calls and lost cards.
The ability to Direct Deposit your paycheck onto the card, free of reload fee.
…the ability to view transaction details?
I honestly couldn’t find any more features of the card.
Why it failed
Well, for one thing, the Kardashians are known for their outrageous spending habits, so any teen asking their parents for this special card with a bit of Kardashian kleavage on the front is already on the road to bad habits by being a fan. A trio that drops $2,500 on a single pair of shoes and $30,000 on a single purse is certainly not who I want my kids looking up to or taking advice from.
And to launch the card, the Kardashians threw a huge party (or rather, were paid $25,000 by a club to attend a party) but in the end decided that even though they had been paid and were under contract to stay 3 hours at the party, they wanted to leave after 45 minutes. (understandably, I mean, If I had a fresh $25,000 in my pocket, I would certainly want to hit the strip mall, wouldn’t you?)
Come to find out, the company behind the card itself that happily merged with the Kardashian image in this venture is know for having cards with high fees already, some of the highest in the industry. This caught the eye of the Connecticut Attorney General who launched a full-fledged investigation on the card and partnership.
In any event, every move I know of by these sisters is irresponsible and the exact opposite of the kind of things that our kids need to be learning. Their work ethic is obviously non-existent, their money management habits backwards and the source of their fame just wrong.
There were only 250 confirmed sign-ups for the card and with it’s cancellation, every one of them are eligible for a full refund but honestly those 250 people that bought the card are most likely die-hard fans of the trio and I’m guessing will forfeit their refund out of principle and support for these stars.
There are a million better ways than to spend your hard earned money, and many of those can help teach your kids value and responsibility; this kard is not one of them. I’m very happy to see that it was only available for 20 days. That fact alone gives me just a tiny bit more hope in humanity. br>