The card doesn't seem to exist any more, but it sounds almost exactly like what this app does (without the todo list functionality). It's linked to a parents' account so they can provide cash for fuel/going out and can keep track of the kids' expenses.
http://www.cnet.com/uk/news/paypal-targets-students-parents-...
So you need to legitimately work around the 'stored value' problem, i.e. you need to find a 3rd party with a legal solution. That's either a real bank account or a prepaid card. And the 3rd party has to have an API that allows you to open accounts, execute transactions, etc.
The card program requires a bank partner too. And card programs cost 10K+ a month to run, regardless of whether or not you have 1 card issued or 250,000. Lots of cash burn early.
So that's the target state. Johnie outlined some nice interim steps below, but this is not simple. Oscar took on a challenging business problem.
That sounds incredibly odd to me. Aren't you 18+ when you get into college? Couldn't you just get your own debit card without parental involvement?
For a debit card - yes, you can just open a bank account and get one. You need money in the bank account. If you arrange a way to automatically transfer money into a kids' bank account at the touch of the button, you end up with an app much like this postmortem.
I could believe that. When I was a college student, it was a big deal when my parents got me a credit card. Even if you are limited in what you can spend, it shows that you're integrated into the same financial system that adults are and can make your own choices with money. You don't get that with a virtual currency or parents dispensing out $20 bills.