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The 4 different cards and how to use them

There are 3 cards which are most common. In New Zealand, people use each of these cards for different purposes. Each card has benefits and consequences for using them.

Eftpos Card:

These cards are connected to your everyday banking card. The money is yours and it usually costs around $10 a year to have one of these. If you are under 19, you usually get one for free. Talk to your bank about the fees as they're different depending on which bank you are with.

Debit Cards:

Debit Cards are your money also. The difference is that it usually has a chip which allows you to insert it, or use pay wave. You can also make purchases online, overseas, and get an overdraft. An overdraft is when you spend too much money and your account goes in to a deficit which means that you now owe the bank money. When money is added to your account, it will be used to repay this debt.


Your account is -$10 (overdraft) and your dad transfers $20 to you. Now, your account will have $10 in it because the other $10 went to pay the overdraft.

The other thing to be mindful of is that some banks charge you when you go in to overdraft.

Credit Card:

A credit card is money which is not yours. The bank owns this money but they allow you to borrow this money. Most times you need to be at least 18 years old and have a sufficient income, and a good credit score in order to be allowed to get a credit card.

Some credit cards offer rewards such as fly buys points and hot points which can make using one very attractive to someone.

The thing to be mindful about is that you will be charged interest if you do not repay all the money you have spent on the card by the end of the month. Use with caution.

Kids Cards:

It's probably a good idea to teach your children how to safely use a card. You can do this with SquareSpace. With Aotearoa’s first youth account, SquareOne is an app that fosters great habits and learning about money, while giving kids the opportunity to set goals, earn money and gain some financial independence.

This FREE app, downloadable from Apple Store or Google Play, is super easy to set up and use, and the whole whānau can get involved too. You can set jobs for your kids to do, set up and automate pocket money, and have control over what your kids can do with their card. Each kid you set up on SquareOne gets their own Mastercard (just a payment card - not a credit card), which really helps when no one carries cash around anymore. We’re heading toward the digital age, with everything done online and the tap of a card, so what better way to teach them how to manage their money than their first youth account with SquareOne.

If you’ve got one device in the house, kids can access their SquareOne profile using our Family Mode. If they have their own, they can have SquareOne on their device - there they can set up savings ‘Pockets’ and track their savings, check their spending, see the jobs you’ve set them, and learn great money habits along the way.

They have had some great reviews from parents around the country who have been using SquareOne in a variety of ways. Also a couple of pretty thorough ones on Money Hub and too. Gone are the days of jars of coins, or little plastic pigs from the local bank - our kids are growing up in a cashless world, and parents need the tools to keep up with the times.

Get your kids helping out around the community and earning some money along the way. Teach them the skills they’ll need to thrive in the future. Yes - money can be a taboo subject, but with SquareOne we can start to have those everyday conversations to make sure our kids are learning the right stuff at the right time, for their future.

Use the code: MONI5 when you sign up - you’ll get $5 to kickstart your kids’ savings once you’ve topped up!

Check out their website, and follow us on Insta, Facebook

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