 |
Prepaid Debit Cards For A Tough Economy
The concept of prepaid cards is not a new idea in itself. It has existed in one form or another for a number of years through gift cards and phone cards. Applying the concept to a Visa or MasterCard has brought about opportunities that can benefit many people.
With most companies offering a 100% approval rating, a prepaid card is easily obtained and will not have any impact on your credit rating. This will help people who need to make purchases for goods or services on the internet, but are not able to apply for a credit card.
There are many possible ways a prepaid card can be used for internet purchases or offline purchases. If a retail outlet accepts a Visa card or MasterCard, the chances are it also accepts payment from a prepaid card.
How can a prepaid card benefit you?
The main benefit for all prepaid card owners is the fact debt cannot be accumulated. It enables people to shop freely with the amount of money they have loaded onto the card. Once the balance has been used up, there is no possibility to spend more unless additional funds are added.
Parents will be able to add money to a card for their children and not have to worry about them carrying cash or falling into debt. If the card does get used fraudulently, the cardholder is normally protected and would need to contact the card issuer to resolve any issues.
By using a card, a teenager will be able to learn to effectively manage their finances and improve their budgeting skills. The card may be used to top-up mobile phones, pay for travel expenses or even paying for the latest chart-topping CD or DVD. As long as there is a balance on the card, a teenager will be able to have full control over how they spend it.
"Prepaid cards have a number of benefits to parents and consumers. Control over spending is the largest benefit," says Peter Klamka, (http://www.myspace.com/peterklamka) an Ann Arbor, Michigan based consultant to the payment industry.
An additional benefit is that parents can authorize any relative or friend to add funds, so there is no need to send cash through the mail when wanting to send birthday money.
On top of this, no interest charges are applied to card balances and no penalties for late payment. People are free to top-up the card anytime they need additional money for a purchase.
There are two popular types of cards. The single use card which is also known as a gift card has a preset dollar figure at the time of purchase. One may or may not be able to reload these cards. The second type of card is a reloadable spending card. In many cases, these cards are purchased with no value at the initial purchase. Consumers are then able to add money to it. For the youth market, these cards can be tied to a parent's bank account. For the unbanked, most use Western Union or MoneyGram to add funds to their personal spending card.
Overall, although a prepaid card offers a convenient method of paying for things, it should be used responsibly and due care should be taken to store it even when all funds are used. If you have paid for something using the card, it may be required as proof of purchase.
Jennifer Nast is a freelance writer based in London, England. She frequently writes on personal finance issues. She was an economist in The Citi before leaving to become a mother and writer. She can be reached at http://jennifernast.blog.co.uk/
|
 |
Prepaid Debit Card - Guaranteed Approval
The difference between a credit card and prepaid debit card is that with a credit card you are borrowing the money to pay back later, while with a prepaid debit card you are subtracting your own money being held at the financial institution.
Auto Dealers Use Prepaid Gas Cards and Gas Station Credit Cards to Entice Buyers
With gasoline prices in the United States surging ahead at a breakneck pace, buyers who once embraced big oversized trucks and sport utility vehicles (SUVs) are turning away from gas-guzzlers, a move that?s putting the squeeze on both automakers and auto dealers
None have been hit harder than Chrysler, which relies on trucks and SUV?s for 70 percent of its sales
MiCash Announces Prepaid Debit Card with Unique Remittance Capability
A newly launched reloadable prepaid debit card is giving non-banking consumers many of the same freedoms bank customers currently enjoy, plus the added convenience of card-to-cash remittance. MiCash's reloadable prepaid debit card, can be used for electronic purchases, paying bills, ATM cash withdrawals and to transfer money internationally - no bank account required.
Smart Reasons to Have A Prepaid Debit Card
A prepaid debit card is a card that is not tied in typically tied in with a bank account. Instead of linking to your account, you obtain the card and deposit money to use later on. Kind of like a bank account on the go, you can replenish the card when it gets low and start using it again right away. The safety, security, and affordability of this type of card are obvious. Let?s take a look at some other benefits related to using a prepaid debit card.
Prepaid Health Care Cards Gain Consumer Support: Survey Finds Consumers Want Prepaid Health Care Cards to Reduce
Hassles, Paperwork a
A recent survey about paying for health care found that a new tool is improving the process of health care spending and reimbursement. The survey, commissioned by the Network Branded Prepaid Card Association (NBPCA) and conducted by Kupersmit Research, found that consumers with prepaid health care cards, as part of their flexible spending account (FSA), were far more satisfied with being able to easily and efficiently pay for eligible health care expenses.(a) Eighty-one percent of respondents who have a prepaid health care card are extremely or very satisfied with their FSA versus 66% of FSA users without a prepaid health care card. The NBPCA is a non-profit, inter-industry trade association created in 2005 to advance the success of network...
2Checkout.com Pays Suppliers Using Prepaid Debit MasterCard(R) Card Through Payoneer: Partnership Lets Suppliers Worldwide Access Their Earnings Fas
2Checkout.com (www.2checkout.com), a provider of global e-commerce solutions to tens of thousands of business customers around the world, announced that it has partnered with Payoneer(TM) Inc. (www.payoneer.com) to provide its suppliers with the option of receiving their usual weekly payments via a prepaid MasterCard(R) card, instead of a paper check or wire transfer. Operated by Payoneer, 2Checkout.com branded cards are good at any ATM, store or online site that accepts MasterCard worldwide. Cards allow suppliers faster, easier access to their funds while cutting th...
All American Rally Against MasterCard and Visa Credit Card Fees on Gasoline
All American Rally to Stop Skyrocketing Credit Card Fees on Gasoline is scheduled for July 3rd at 7:30 am in Irvine, CA to ask Congress to support the Credit Card Fair Fee Act.
Calling Cards and Prepaid Phone Cards To Help You Save Money
You can now save quite a bit of money on your long distance calling simply by using prepaid phone cards. It wasn't too many years ago that making a call overseas or even to an old friend in a neighboring state would be very expensive and even prohibitive.
Prepaid Gas Cards Versus Gas Credit Cards
Gas prices have doubled since last year and motorists are embracing every gas saving tip thrown their way There are quite a number out there, from improving driving habits, driving hybrid cars to using gas cards
Two Things You Need To Know About Prepaid Debit Cards
According to the September 2004 issue of the Nilson Report, around $588 billion dollars worth of debit cards were bought in the United States in 2003. By 2008 that volume is expected to grow to $1.
|
