Justin Bieber’s Credit Card Reinvigorates Celebrity Credit Cards

Justin Bieber will promote a new credit card, breathing new life into celebrity-endorsed credit and debit cards.

The teen singing sensation will work with a company known as BillMyParents to introduce prepaid credit cards to a new market – those who aren’t old enough for a credit card. The SpendSmart card will feature the easy convenience of paying with plastic and encourage parents to provide prepaid cards to their kids to track and moderate their spending habits.

Bieber isn’t the first celebrity to endorse a credit card product. The singer follows the Kardashians, Magic Johnson, Suze Orman, Russell Simmons, and others.

Celebrity-endorsed prepaid cards often draw criticism for having higher fees than other prepaid cards. Justin Bieber is already drawing heat from consumer advocates who say the card is too costly relative to its peers. The card comes with controversial fees including $3.95 monthly account fees, $1.50 ATM withdrawal fees, and an inactive card fee that charges customers $3 when cards go unused for more than 90 days.

Compared to peers, the singer’s preferred card lags behind popular competitors like the new American Express Bluebird, which entered the market as a low-cost, competitive bid by American Express to significantly reduce the cost of carrying a prepaid debit card.

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