My Child’s First Debit Card? Financial Education for ChildrenBy Jorge Ramos Zwanziger | Wed, 12/23/2020 - 10:15
Financial education is important, and like learning a foreign language, it is better to start early on. Mozper has launched a debit card and app designed especially for children and their parents in Latin America. Mozper´s intentions are to raise a savvier generation that will spend better, save better and generate financial stability in a region where financial education is seldom taught, wrote in MBN the Co-Founder and CFO of Mozper, Yael Israelí. In another MBN article, Israelí explains the benefits of the product which allows parents to:
- Deposit money using their bank account, credit, or debit card so kids can receive their allowance
- Define spending rules on how their children can use their money
- Create savings goals, both for the long-term and short-term
- Assign chores for children to complete and receive payment for each task completed
Mozper aims to position itself as a pioneer in banks targeting Latin America´s youth. It has already established its presence in the Mexican market with its beta test release three months ago. Recently, it announced the end of a Seed Round, led by Hertz Ventures, where the company received US$3.55 million worth of investments, which the company plans to use to further solidify its position in the Latin American region, reports Business Wire. “We think that the Latin-American market is like a blue ocean for Fintech innovation, Pavel Livshiz, Partner in Hetz Ventures, told Entrepereneur.
Pablo Klestorny, Yael Israelí and Gabriel Roizner established Mozper in January 2020 and announced the release in August of a closed beta test that included 500 families, where the product showed its attraction for the Mexican market. “We are very impressed with the capacity of Gabriel, Yael and Pablo to execute their vision so quickly to bank the first digital-first generation in Latin America in an early and impressive manner,” Livshiz said. Entrepreneur reports that 90 percent of the families that participated in the beta testing are still using the product. The app was formally released to the general public on November 2, 2020, and each week has reported an increase in usage.
In 2018, INEGI published a National Financial Inclusion Survey that revealed that only 68 percent of the population had some sort of financial service, such as a bank account, leaving 32 percent of Mexicans without one. The National Survey highlights the importance of financial education that will teach people to understand the capabilities and benefits of financial markets. “We are excited to bring financial education to the young people in Latin American, beginning with Mexico,” said Gabriel Roizner, CEO of Mozper, to Entrepreneur. “Through the use of our Visa debit cards and the app, children obtain real and practical financial education, appropriate for the digital era. We really think that there is no financial inclusion without education,” he continued. Financial technology becomes a much more relevant tool for financial inclusion, something you can read more about in this MBN article.