Getting to Know Prepaid Credit Card.
Prepaid credit card is for people who still insist of applying for a credit card even though they are often rejected because of poor credit.
Nobody can undermine the importance of owning a credit card because of the convenience it provides.
Most common transactions such as booking a flight or making hotel reservation are easily done with credit cards.
Credit cards are also essential for other tasks including buying from stores, paying basic household utilities or doing online shopping.
Therefore, prepaid credit card gives you an opportunity to have the convenience that other regular credit card owners are enjoying.
How Prepaid Credit Card Works?
Prepaid credit card works just as a regular card does, but it has a lower credit limit.
The credit limit of this card is equivalent to the amount of security deposit made by the cardholder.
In getting a prepaid card, the applicant has to make a deposit that will correspond to the credit limit of the card being applied.
The physical credit card will be issued, and the cardholder can use it for purchases or make payments.
Other Things you need to Know about Prepaid Credit Cards
When considering a prepaid card, you can evaluate it according to the features and fees.
- The card can be used to any stores or establishments where the card issuer is accepted.
- The card is useful in making purchases in stores or online and pay bills where the card is acceptable.
- The account can be reloaded by making a deposit. You may also increase you credit limit whenever desired.
- Cardholder can make a withdrawal using an ATM.
- The card may be offered with a cash back rewards.
- The fees for prepaid card may depend on how it is used.When withdrawing from the ATMs that are within the network, no fee is charged, and small amount of fee is applied when withdrawing at non-network ATMs.
- Fees may be applied upon application of prepaid credit card.
There are available prepaid credit cards that offer worldwide convenience.
You can get the opportunity of the services of regular credit cards without any monthly billing or credit checks.
- MasterCard Prepaid Card
With this prepaid card, have all the great advantages of a regular MasterCard.
Applicants also have the options to choose from different amounts of cards.
You can enjoy using the card anywhere MasterCard is accepted.
MasterCard Prepaid is ideally for travelers, students and other people who are budget restricted.
- Visa Prepaid Card
This prepaid card is easily reloadable.
You can load any amount and use the card anywhere Visa card is accepted.
With Visa prepaid, you can have direct deposit, shop online and pay your bills.
When applying, there will be no credit check.
The process of applying is signing up, make a deposit and use the card right away.
Many people are relieved knowing that they can get a prepaid credit card and use it as regular credit cards.
Prepaid cards are recommended for parents in order to provide credit card for their children while studying and have a full control of their spending at the same time.