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Prepaid credit cards have been growing in popularity over the past few years. But despite the ‘credit card’ name, no credit is actually involved. Heres how it work’s.

When a standard credit card is used, you pay for the convenience of being able to purchase items without saving the money up first. The issuing bank is basically lending you money , to be repayed on a regular basis. But with a prepaid credit card, there is no line of credit or loan. Instead, the user will make deposits to their bank account, and then use the credit card to withdraw that money for purchases. Why would you use a prepaid credit card if you don’t actually get any credit?

A prepaid credit card is a excellent choice if you want to be able to make purchases online without taking the risk of giving unknown merchants your credit card information and access to your credit line. Lots of people today are sensitive to online credit fraud, and this is one of several ways around it. But be aware though, many merchants that require you to make monthly payments will not accept a prepaid card for purchases.

A prepaid credit card is also an great way to provide a weekly or monthly spending allowance to a child away from home, let’s say, at college. The student has the convenience of being able to charge different items on the card, and you can easily have control over the amount that the child spends by the amount of the deposits made to the account. This will go a long way in teaching them how to manage their money.

If you have decided that a prepaid credit card is the right choice for you, there are a lot of options available that can offer you varying benefits. Perhaps you’re looking to repair or restore your credit. Could be you want a way to give your away-from-home student a monthly allowance. No matter what your reason, why not choose a prepaid credit card that allows you to earn income at the same time?

Prepaid Credit Cards That Help You Restore Your Credit

Not every financial institution that issues stored value credit cards makes reports to credit agencies about your spending history. If part of your reason for applying for a prepaid card is to repair your credit history, make sure you choose a company that does make reports. There are also a number of issuing companies that offer credit reporting as an add-on service for an additional fee.

Prepaid Credit Cards That Pay You Back

Some major financial institutions will offer you a prepaid credit card with an opportunity to make income. They offer a rebate on spending, or a referral program. If you don’t need to build your credit, and believe that your income through spending rebates and referrals will exceed the annual
membership fees, then these types of cards might be a excellent choice for you.

What ever your reason for choosing a prepaid credit card, be sure that you shop around to get the best deal, and that you check out the financial institution to make certain that they are a reputable business.

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Prepaid credit cards have been around for over ten years now, although they are just now coming into the spotlight. Prepaid credit cards are basically credit cards backed by major credit card companies that offer you the ability to deposit money onto the card and then use it for purchases. You are not allowed to spend anything more than you have deposited in most cases. It is a great way to teach students good financial responsibility. There are a lot of advantages to prepaid credit cards, and only a few disadvantages. However, before committing to any prepaid credit cards, you should be clear on the companys rules and fees.

No Credit Checks

One great thing about prepaid credit cards is that there is usually no credit check required. This makes prepaid credit cards ideal for those with lousy credit scores or even those without any previous credit to build their credit. If you have bad credit, this is a nice way to slowly rebuild your credit score. Creditors will see the card on your report and see if you use it responsibly and often.

No APR

Many prepaid credit cards offer no APR on money deposited and your purchases. Some do charge high interest rates on your balances however, so beware. There is no reason you should pay a monthly interest rate on money you have deposited or on purchases. Therefore, you should certainly look for cards that offer no APR.

Fees

Just like the bank, some prepaid credit cards charge fees on your transactions. Some prepaid credit cards will charge you ATM fees or cash withdrawal fees. These are the most common fees with prepaid credit cards. Some cards however may try to charge you a monthly usage fee. Try to get a prepaid credit card that does not charge this monthly fee. They exist out there, so just search. You will save yourself a lot in the long run by avoiding a monthly fee on your prepaid credit cards.

Direct Deposit

Prepaid credit cards often have the ability to allow you to directly deposit your check onto your card. This eliminates the need to go to the bank each week. This is the perfect option for the cardholder that uses their prepaid credit card for everything. Take advantage of these convenient options, as they can save you time. The truth is, prepaid credit cards are responsible ways to spend money. They give you the option of using your money anywhere credit cards are taken without leaving you with a high monthly bill.
Prepaid credit cards can also offer reward programs and other incentives similar to regular cards. They are convenient and low risk. As with any credit card, make sure your prepaid credit cards have terms which with you agree. It is better to read everything before rather than later.

Observers in the lending industry have estimated that there may be at least 50 million Americans who are not able to qualify for credit. These consumers are usually young, often members of the minority groups and unbankedand they are faced with the long-standing dilemma of credit: how can I build my credit record if no one will give me any credit at all?

One of the answers offered by credit card companies is a variety of prepaid credit cards, designed for use by specific segments in the market. The prepaid credit cards are meant for that significant portion of the population that cannot meet the qualification criteria for regular credit cards, or who qualified before but have since lost their credit due to repeated defaults and other reasons.

Advantages of Prepaid Credit Cards For those who do not have enough credit history or have had it blemished, prepaid credit cards are an effective way to build or slowly rebuild credit. That may not happen immediately, but it is something to work on over time. The banks that issue prepaid credit cards are also prepared to extend normal credit the moment you are able to show that you have become a worthy credit risk.

For the moment, you may have to make do with prepaid credit cards. You can use prepaid credit cards as you would any other regular credit card to purchase airline tickets, reserve hotel rooms, or order items online.

Prepaid Credit Card for Students

There is a special prepaid Visa credit card for students, which offers a lot of convenience not only for the students but also for their parents. These reloadable prepaid credit cards offer parents several options on how to reload. Parents can add money to reloadable prepaid credit cards by depositing money, by arranging an automatic transfer of funds from their account (a deposit account or their own credit card account), or by online transfer. Using the prepaid Visa credit card is no different from giving the regular allowance to their child, only they do so by electronic means and there is no more cash that changes hands.

The big advantage of the prepaid Visa credit card is that the student is limited to spend only as much money as there is in the card. The parent is thus able to control to some extent the spending behavior of their child. They can use the prepaid credit card anywhere that the credit card brand is accepted.

Prepaid Credit Cards as Gift Certificates

Some prepaid credit cards function like gift certificates. You buy the prepaid credit card for a certain amount, and your recipient can purchase items with it at any of the brick-and-mortar stores or online merchants, and also for mail order items, that accept the particular credit card brand. Your recipient can use the prepaid credit card only up to the amount of money that you loaded on it. This particular version of prepaid credit cards is non-reloadable.

Like any gift certificate, recipients of prepaid credit cards can buy whatever it is they want at any time they want. Unlike a gift certificate that, when it gets lost is lost forever to the recipient, prepaid credit cards may be replaced if it gets lost or is stolen.

Prepaid Credit Cards for Travel There is a prepaid credit card designed for travel. These reloadable prepaid credit cards can be purchased in lieu of travelers checks or cash. In a way, it combines the best features of a credit card and a travelers check because of its convenience and security features. Should you lose the prepaid credit card while you are on travel, you can easily obtain an emergency replacement, both for the prepaid credit card and some cash.

Prepaid credit cards for travel are accepted all over the world, and also allow you to obtain currency from ATM machines. When you need to reload and you are already traveling you can arrange for the reload by phone or online. Apart from the fact that it is a prepaid credit card, you can use it exactly like a regular credit card. That also means you enjoy other benefits just like a regular card reimbursements for lost luggage of up to $1,000 per cardholder if your luggage is lost; zero liability if your prepaid credit card is used fraudulently after you lose it or have it stolen from you; purchase security up to $500 per claim for any items you buy with prepaid credit cards, which subsequently gets stolen or damaged for certain reasons.

Generally, you can purchase prepaid credit cards of all the major credit card brands at their participating retailers. You dont have to worry about not having acceptable credit because prepaid credit cards are made available without need of a credit report or a bank account. The only qualifications you need to have are that you have reached 18 years of age and that you must be able to present a valid identification issued by government.

Disadvantages of Prepaid Credit Cards

There are a few things about prepaid credit cards that may not be as convenient as the regular credit cards. For one thing, you load only so much money onto it. You will need to keep track of the balance on the prepaid credit card because not all of the merchant terminals where you use the card may be able to help you determine it. However, there are procedures that tell you how to determine your balance, and you will these detailed on the back of the prepaid credit card and in the instructions accompanying it.

The process of reloading your prepaid credit card may be a little inconvenient to some. If youre using cash, you would have to visit the participating outlet where you bought your reloadable prepaid credit cards. The more convenient way will be reloading online.

There are also the charges. Prepaid credit cards impose an application fee, the amount of which varies with the issuer, and there is also a service charge that you have to pay monthly. You also have to pay for transaction fees, charges when you transfer funds to top up the balance, when you replace your prepaid credit card, and many other fees. To be sure about the fees, you should read closely the fine print on the prepaid credit card account.

Prospects of Prepaid Credit Cards

Prepaid credit cards do not provide credit; it is your money that youre using. You are asked to pay other charges, so it is not for free. You are paying for the convenience and security of carrying plastic instead of large amounts of cash. People with bad credit will be able to act as if they had a regular credit card and enjoy the convenience of one.

Issuers of prepaid credit cards realize that it is a good way to monitor the credit behavior of the cardholder. A prepaid credit card would be a source of information that indicates to the credit bureaus and issuing lenders about how you as the individual cardholder use the card to pay your bills such as utilities. If these consumer data could be formatted in such a way as to provide the basis for a statistical model on probable future behavior in spending, then this could become the foundation for building a credit history.

You would benefit, because by using prepaid credit cards you are rebuilding your credit. The prepaid credit card issuers would benefit, too, because they would be making previously unproven customers bankable. More people could then qualify for regular credit, and that would mean tremendous incremental revenue for the lenders.

You can think of a prepaid credit card as a loaded gift card that is good just about anywhere. The functionality of a prepaid credit card is really quite simple. It acts just like a normal credit card except it has a limit to it. Once you load up your card, it will be good anywhere the brand is accepted. Each purchase will deduct from the overall total until you finally run the card out. Some prepaid cards are able to just be reloaded, but others will just be used up.

In this case you just have to buy a new one. There are many instances when it is just going to be far more convenient to use a regular credit card. Everyone should know that purchasing gas is much quicker if you can just pay at the pump. It is also not exactly a wise idea to carry hundreds of dollars in cash around with you.

The real question then just comes to why you should use a prepaid version. A prepaid credit card can be particularly handy for a wide variety of people. First, a prepaid card is great for a teenager who really needs to learn proper spending habits. Every parent should want their child to develop healthy spending habits that will greatly benefit them throughout their adult lives.

Unfortunately, the power of a credit card is sometimes too great and debt can build up very quickly. Before you know it, their credit is damaged and they have to pay high interest payments on a bunch of worthless purchases. In this case, they could have just been given a prepaid credit card. This card would have locked them out at the amount that the parents gave them while still giving them the convenience and freedom of a credit card.

Second, it will come in handy for any person who wants to stay within their budget. A good financial planner will be able to set aside how much money he is going to need on their credit card throughout the month. In order to forcibly stay within their budget they can choose to just buy prepaid credit cards. By doing this, they will be able to avoid the high interest costs and fees incurred from using a credit card.

Third, it can be very good for someone who has bad credit. A prepaid credit card just requires money in a bank account. A person who has made bad credit decision in the past will have great difficulty in getting a good credit card in the present. Prepaid cards are the perfect go between for convenience while they wait for their credit to recover.

Finally, it is perfect for someone who wants to keep their information safe online. If information from a prepaid credit card is stolen, they will only be able to use the money on the card. This greatly limits one’s potential loss. Anyone who wants to make a few purchases online should greatly benefit from a prepaid card.

A prepaid credit card is a great blend of function and convenience for just about anyone who wants something different from the standard card.

With so many consumers looking for ways to rebuild their credit, secured and prepaid credit cards are growing in popularity. Some people swear by them, and others try to avoid them. If youre new to credit cards, you may have wondered how a prepaid card differs from a secured card, and how either kind can be used to build credit.

Secured credit cards work much like regular credit cards, but with less risk to the card issuer. The cardholder deposits money into an account, which is used to secure a line of credit. Typically, the cardholder needs to deposit enough money to cover 100-200% of the cards credit limit. For example, a one thousand dollar deposit would result in a credit limit of five hundred to one thousand dollars.

Secured cardholders are responsible for timely payments, just like regular cardholders. This is a good thing, because it teaches good repayment habits and helps to establish a positive payment history a very important part of rebuilding damaged credit. If a secured cardholder does default on a payment, the card issuer is protected; they can recover their loss by taking it out of the cardholders deposit account.

Critics of secured credit cards point out the difficulty of coming up with a lump sum of cash to use as the deposit, and they do have a point; if cash is that tight, perhaps it isnt the best time to get a credit card of any type.

By contrast, prepaid credit cards are not actually credit cards at all. They look like them, and can be used like them, but they are really more similar to debit cards. The cardholder deposits money into an account and the prepaid card is then used to draw on these funds. No actual credit is offered by the card issuer. Setup fees and small monthly fees usually apply.

Prepaid cards can be issued to minors. These cards are popular with parents of teenagers who want their kids to have access to a credit card, but one with a definite spending limit in place. No large, up-front deposits are required to obtain a prepaid credit card. The prepaid card limit is up to the purchaser, who can load the cards account with an amount of their choosing.

Prepaid cards can also be used to establish or rebuild credit. Some issuers give out cards with the Visa or MasterCard logo on them, and these cards can be used anywhere those brands are accepted. Setup fees and monthly fees vary by issuer, so do a bit of research to find the best prepaid card for you. You will find that your options are plentiful, and competition between issuers is steep which is good news for potential cardholders.

Secured and prepaid credit cards are similar in form and function, with a few notable differences. If your credit is damaged or nonexistent, these cards present an opportunity to improve your situation. If you have a teen or young adult with an allowance, but dont want to worry with cash or checks, prepaid cards can be a safe and convenient way to store their money. Likewise, if you have trouble limiting your own spending, you might want to try one of these cards.

But if your credit is average or better, and youre able to control your spending and pay off your credit card balance each month, you might be better off going for a standard, unsecured credit card. The interest rate and fees will almost certainly be lower, and you wont have to worry about putting up a big deposit. There are many available cards to meet many needs. A little research should turn up the card that best meets yours.

It can be pretty tough when your credit is bad and it is next to impossible to get credit when you need it. Most major credit card companies will not talk to you, and a lender – well, forget about it. There is a way, though, out of the tough situation with a prepaid credit card. Here is what you can do with a prepaid credit card to help rebuild your credit score.

Need A Bad Credit Rating

One of the best things about a prepaid credit card is that it was designed for people with bad credit. In fact, that is one of the qualifications. There will not be any check on your credit rating, or your employment. Anyone can get one of these credit cards, but you will need to deposit a cash amount equal to the credit limit you want. This lets you know that it operates on a debit basis – no actual credit is given.

Get A Card That Reports To A Credit Bureau

Not many prepaid credit cards actually report to a credit bureau. That is, however, the kind of card that you want to get. While others make having cash handy, it really will not help you (or anyone with bad credit) in the long run.

Watch The Fees

Prepaid credit cards often come with a number of fees. You should compare one card with another in order to get the fewest fees. In order to get a prepaid credit card that reports to a credit bureau, you will probably have to pay an annual fee – could be as high as $100.

Look For Benefits

Most prepaid cards do not come with any benefits, but some do. You can get points, like on a regular credit card, that are useable for a few benefits – like free phone time, and more.

No Credit Card Abuse

Another good thing about these credit cards is that you can never go over your limit, or have to pay any late fees or interest. (Hey, this is sounding better all the time). This means that if it reports to a credit bureau, that it would be impossible to get a lower score than what you may already have with this kind of card.

Easily Put Cash On Your Card

Most prepaid cards will allow you to easily put credit on it from just about anywhere. You can even put your paycheck onto it by Direct Deposit.

Use It Like A Credit Card

A number of these prepaid credit cards can be used in the same way as a credit card. You can set up automatic bill payments, purchase things online, or over the phone. If you want this feature, however, be sure that the ad says that you can do this.

Like any other credit card, you will want to compare features and fees in order to find the best prepaid credit card for your needs. While most of them are similar, the fees vary widely. Since no qualifications are needed, why not get the best?

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For all the advantages that you are offered by using prepaid credit cards, there are some disadvantages you need to be aware of. In this article I will go over these, and this should help you make better decisions when using these cards.

When using prepaid credit cards online, it is important to be aware of where you are shopping. Some sites will scam you, and you may find yourself paying for products or services which you never receive. Shopping online with a prepaid credit card can put you at risk for these types of scams.

When you go out shopping, it is important to check the balance of your card to make sure you have enough to get what you’re buying. You don’t want to stand in a long line waiting to buy something just to get to the cashier and realize you don’t have enough money.

This will frustrate and humiliate you. One of the disadvantages to using prepaid credit cards is unlike cash, there is no way for you to look in your wallet to figure out how much you have to spend. It is important go online and check your balance and transactions.

Another disadvantage to using prepaid credit cardsis that many places and shops do not accept them. This is especially true when traveling to other countries, which may have cash based societies. Small restaurants and shops in foreign countries may only accept the local currency.

Because of this, it is important to carry around small amounts of cash at all times when traveling. Another problem with prepaid credit cards is the potential for abuse by merchants. Many people have complained that when they make a purchase at a restaurant or store, the merchant takes out more money than they’re supposed to.

This doesn’t happen with cash, because when you pay with cash merchants aren’t allowed to have access to your account. The best way to avoid this is to only shop at reputable locations, and check your balance immediately after making transactions. Sometimes mistakes do happen, and it is important for you to catch them as soon as possible.

The last issue that could be a problem when using a prepaid credit card is not being able to access your own money. Some people are frustrated to find that they are not able to withdraw their money from ATM machines when they need it the most. While this doesn’t happen often, it is another good reason to carry some cash at all times.

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There are many advantages to using prepaid credit cards over traditional credit cards. In this article we will go over the differences between traditional credit cards and prepaid credit cards, and why they are becoming so popular.

One of the things that credit card companies all over the world have realized is that many people do not meet the credit requirements necessary to be issued their standard credit cards. Many people don’t have any credit, while others have bad credit. Because of this credit card companies are not making the profits they want. To solve this problem, they introduced a credit card which could be used by virtually anyone, without the need to have good credit.

Prepaid credit cards are convenient and easy to carry. If you are carrying around lots of cash, and someone robs you or steals your wallet or purse, there is often nothing you can do to get your money back. With prepaid credit cards, you are able to quickly cancel them or dispute any fraudulent transactions which are made.

Another advantage of using prepaid credit cards is the internet. As more people begin shopping online, they will need electronic methods of paying for their merchandise. Those without good credit would normally have a hard time shopping online. However, with prepaid credit cards, getting approved and shopping online is easy.

Another advantage of using prepaid credit cards is that they can be used globally. Whether you are at a store in Tokyo or a museum in Paris, prepaid credit cards are accepted at the same places where traditional credit cards are accepted.

Parents can keep track of how much money their children are spending using prepaid credit cards. Before this, parents had no control over protecting their children from creating enormous amounts of debt. By using prepaid credit cards they can transfer monety into the accounts of their children and monitor their spending.

Prepaid credit cards are reliable, and can be used for point of sales purchases virtually anywhere. You can reload money onto them when they run out, and you can quickly transfer money to any part of the globe. Prepaid credit cards are changing the way people spend money.

Whether you have good or bad credit, you will find that the advantages of using prepaid credit cards are enormous. You will have power over your spending, and you will be able to set your own spending limits.

The idea of a prepaid credit card has been around for a number of years, but it’s only now, with the level of personal debt soaring, that it has really started to take off.

But what is a prepaid credit card? How does it work? And most importantly, can it help you avoid getting any deeper into debt?

The Basic Idea

If you’re familiar with the idea of a prepaid phone card or a prepaid gift card, the idea won’t be new to you. It’s basically just a credit card without the credit. You load money into your card account and can then spend it using your plastic card as you would with a normal credit card.

These prepaid credit cards are accepted by hundreds of thousands of retailers and online merchants.

Dozens of financial institutions offer prepaid accounts backed by either Visa and Mastercard so they can be used globally. In fact, anyone who accepts credit cards will be able to accept your prepaid card.

And the uses are almost endless;

Top up your cell phone

Pay your bills

Buy groceries and petrol

Shop online

Book flights, hotels, tickets

Hire cars

Transfer money to family and friends

You can even withdraw cash from your account at millions of ATMs all around the globe

And once you’ve spent the money in your account, you can “recharge” it with more money.

The Benefits

The main benefit is that these cards are extremely flexible. You can load money onto your account using cash, bank transfer, or even using another credit card (but that’s probably best avoided if you want to avoid debt).

And because most prepaid cards are backed by Visa or Mastercard, you can use them anywhere in the world as you would with a traditional credit card. In fact, the use of these cards is so similar to credit cards that they’re usually called prepaid credit cards, despite the fact that credit is not involved.

The only difference is that you have to fill up your account with your own money before you use your prepaid card, which brings us to the other main benefit. It’s impossible to get into debt using one of these cards, because if you don’t have any money in your card account, it won’t be accepted.

That gives you more control over your spending. It allows you to set a budget and put that amount in your account. There’s no risk of overspending on one of these cards, which is a major advantage if you’re trying to escape debt or are worried about getting into debt. And as with credit cards, you’ll receive a regular breakdown of your spending on the card, which is great for keeping track of your spending.

And because you’re not advanced any credit, there’s no interest to pay and no credit checks to get one of these accounts. That means everybody is eligible to get a prepaid card, even if you have a bad credit record.

Other benefits include;

Travel: These cards have the same travel benefits as normal credit cards. They’re accepted worldwide, especially those backed by Visa and Mastercard. You can withdraw cash from millions of ATMs across the globe. If you select the right prepaid card, you’ll also be able to take advantage of foreign exchange services without paying fees. And if you lose your card, just contact your provider and they’ll provide you with a new one.

Safety: If you use your card to make a purchase (by phone, internet or in person) and it is used fraudulently, the provider of your card will cover the loss just like a traditional credit card. These cards are also safer than carrying cash, which brings us to the final prepaid benefit.

Children: Prepaid cards are the perfect way to provide your children with a safe way to have access to money that you can control. Many prepaid cards are open to people of all ages, although as with traditional credit cards, some companies restrict the use of their prepaid card to people aged 18 and over.

As for the debate over whether it’s a good idea for children to be allowed a prepaid card, some people argue that it will make children more financially aware from an earlier age. They claim it will teach them to understand the value of money and develop better money management skills as they grow up. It will allow them to budget without the risk of getting into debt.

Other people claim that it will encourage them to develop reckless spending habits, especially if their parents keep topping up the account. If parents are too generous, their children could get used to the pot that never runs dry, and get into serious debt when they eventually get their own credit cards.

Ultimately, it’s a decision that all parents will have to make for themselves, but if used responsibly, the benefits of prepaid credit cards heavily outnumber the disadvantages, for all users.

Prepaid Credit Cards – How To Choose The Right Account

When searching around for the best prepaid credit card, the main thing to consider are the fees associated with the card. The costs associated with prepaid cards are arguably the main disadvantage.

1) Application Fees

Some providers will charge you for opening an account, some offer free accounts and some accounts can be set up for free provided you preload the card with a certain amount of money.

2) Is there a monthly fee to use the card?

Again, some cards are free, while others make a small charge, perhaps $10-20. If you find a card that charges a monthly fee, find out what you get for that fee. Do they provide online statements, a helpdesk, additional insurance etc?

3) Will you be charged a fee when you load money into your account?

Does it vary according to the method that you use, for example, cash, credit card or bank transfer? And if you deposit money through a bank, supermarket or post office, will they charge you a deposit fee?

4) Will you be charged when you purchase goods and services on your card?

If so, do the costs vary according to the method of purchase (online, offline etc)? What about the charges for purchases overseas or in different currencies?

5) Will you be charged when you withdraw cash from your account through an ATM?

Will this be higher for foreign transactions?

6) Other Unexpected Charges

Will you have to pay for calls made to the provider’s helpline? Will you have to pay for a courier to deliver your card? Will you have to pay for your card to be renewed when it reaches its expiry date? If you lose your card or it is stolen, will you be charged for a replacement card? Will you be charged a fee to close your account?

Find out all the potential costs that will apply to the way that you intend to use the prepaid card. How much would they cost you over the course of an average year?

Choose the card with fees that will suit your use. For example, if you don’t intend to spend much through your prepaid card, but want it for the flexibility that it offers, go for a card with no setup of monthly fees even although it might have higher transaction charges. On the other hand, if you intend to route most of your monthly spending through your prepaid card, a card with monthly fees and no/lower transaction charges might be best for your circumstances.

The main thing is to compare the prospective costs of each card against other prepaid cards and also traditional credit cards. The costs of all prepaid cards should continue to drop as the demand for them grows and the market becomes more competitive. Better deals for prepaid consumers will appear all the time.

But bear in mind that the lowest costs won’t always be the best option. If you’re in debt and need to cut up your credit cards to prevent you from sinking any deeper, slightly higher fees on the safety and flexibility of a prepaid card may be preferable to keeping your existing credit cards and being tempted further into debt.

It’s also worth taking other practical considerations into account, besides the overall costs, including;

How can you add money to your account? How many options do they provide, bank, online etc? Can you do it 24 hours a day?

Can you manage your account online?

Is there an additional card? Is it free?

What level of purchase and fraud protection does the provider offer?

As with all things financial, shopping around is vital to get the best deal on your new prepaid card.