A prepaid debit card is a card that used to access money loaded into it in advance. They are of different types which includes non- reloadable prepaid cards and reloadable prepaid cards. Non-reloadable prepaid cards cannot be used later after you exhaust the initial value on them. Reloadable prepaid cards can be used all the time since you can add money and continue using them. The reloadable cards are the best prepaid cards while on the go.
Prepaid debit cards works nearly like a combination of a credit card and checking of amount. They are issued by banks holding companies and then branded by major credit card companies for example, MasterCard, visa, and Discover. Nowadays, many financial institutions embrace usage of debit cards since customers can access their money anywhere and anytime.
Prepaid cards are used wherever its payment network, for instance visa or MasterCard, is accepted. The spending limit is usually determined by the amount you prepay into your account. This means implies that many customers don’t need to operate a bank account. Despite the related fees charged on the card, restrictions, and inability to build traceable credit history, several customers prefer these prepaid debit cards.
Among the best prepaid cards includes:
American Express serve – this offers free ATM withdrawals, mobile banking, free online bill pay and has fraud protection features. It has no fees attached to sending or receiving money.
Chase Liquid – this card has no maximum card value therefore you can deposit as much cash as you wish. There are no usage fees other than a monthly maintenance fee which is avoidable if only you hold a Chase Bank Account.
READY debit prepaid visa – offers a free credit Scoretracker which helps monitor your credit score, and free online bill payment. It attracts ATM fees. It allows for same day access to your paycheck with direct deposit.
Green Dot card – you can apply for a green dot card immediately with no credit check, and minimal fees, and start using it. Its advantage is that you can add funds either in store or through online.
MOVO Virtual prepaid visa card – this prepaid offers no monthly fees or activation costs. You can make bill payment online and attracts a small fee. Transferring funds by bank takes two to three working days to be active.
Bluebird prepaid card – this is a card issued by American Express in partnership with Walmart, with no monthly charges and no costs related to activation or inactivity. The card can be reloaded by direct deposit and cash load at other retailers at a fee. It attracts fees for bill payments and funding the card.
Rush prepaid visa – the card has got two alternatives which helps keep fees at bay. Either, you can pay as you go plan of one US dollar per purchase, with a minimum of ten US dollars per month, or an unlimited plan with a flat fee of below six dollars monthly fee if enrolled and using direct deposit, and attracts $7.95 monthly fee without direct deposit.
In conclusion, prepaid debit cards helps you achieve your financial goals for as long as you familiarize yourself with the terms and conditions attached, as well as the fees attracted. By doing so, you avoid any unexpected surprises. Therefore it is advisable to understand the fees and the situations under which fees apply.