Last year, Michael Abukhader's 12-year-old son, Jacob, received a $30 NASCAR prepaid Visa card from an aunt who thought it would provide a convenient way to give him cash for birthdays and other events. But once Abukhader, who lives in Queen Creek, Ariz., reviewed the terms of the card, he closed the account.

The card charged a fee of $6.95 for the first purchase, plus a monthly fee of $5.95. Other fees included $2.50 for a withdrawal from a non-network ATM and $4.95 to replace a lost or stolen card. Abukhader explained to his son that after six months, the $30 card would contain a negative balance.