The invention discloses a method for preparing an erasable colored lead core and a product thereof. The method comprises the following steps: mixing weighed raw materials in a high-speed mixer or low-speed mixer; grinding with a three-roller grinding machine to obtain a uniformly dispersed colored lead core material; using extrusion equipment to process the ground material to obtain a colored lead core; drying the colored lead core at temperature of 45 to 65 DEG C for 36 to 72 hours; putting the dried lead core in 100-120 DEG C oil for immersing for 1-3 hours for surface deoiling to obtain the erasable colored lead core. Compared with a product prepared by the way of first mixing of wax and oil into a material and then molding and drying, the product produced by the method of oil immersing after drying has the advantages of high density and high flexural strength, core tip force is increased by 1.5 times or more, oil distribution is more uniform in the colored core, the erasable colored lead core can achieve delicate and uniform coloring and bright color, and the delicate and uniform coloring and bright color can be erased by an ordinary 4B or 6B eraser.