Remove Existing iTunes Account from New iPod

Hi,
We have a new iPod Touch for my daughter. I am hoping to be able to set up an account for her without use of a credit card, and thanks to previous posters who have all pointed to the appropriate Apple Support page to do this.
However, when we were setting up the new iPod, we did put in the existing account for which the nominated credit card had expired. Now whenever we try to upload free Apps, we are being requested to provide updated credit card details which I don't want to do via the iPod.
Is there a way to delete the existing account from the new iPod and add the new "free" account (or at least add this new account)?
Many thanks.

May be the festive spirit that has been playing havoc with my eyes, but I can't seem to find anything in the instructions from the link above that tells me how to delete an account from the iPod, only via the iTunes store.
The problem is that I need to remove the previously added account on the iPod to try and replace with a new "free Apps" account.
Would I need to delete the account on iTunes first and set up a new "free Apps" account which would then force the iPod to seek a new login/account?
Many thanks.

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