What makes prepaid credit cards so great?
Prepaid credit cards are excellent for using when you are out and about shopping and they are similar to regular debit and credit cards.
They are issued under Visa Electron, MasterCard, Maestro or Amex badge and can be used all over the world. Credit can be loaded at numerous places such as the post office, a pay zone or online. Prepaid cards typically involve several fees, including an upfront fee which is charged when you start using the card.
Monthly fees, which are generally between £2 and £5 are ongoing maintenance charges and transaction fees are typically £1 or £2 per transaction, or a small percentage of the price of a purchase. There is a small recharging fees which varies depending on where your recharge your card, whether it is at the post office, the bank or online. The cash point fee applies even when you are using a ’free’cash machine and when you are going abroad the foreign exchange fee is typically 2.75 to 4 percent.
The main advantages of prepaid credit cards are that they are excellent for use abroad, as you don’t have to carry stack loads of cash with you. It is not possible to spend above £200 on the card, which decreases the chances of your running into debt problems. They are also very secure for using online, albeit a little more expensive.
Additionally, they are very secure for transferring money abroad - for example if a member of your family is abroad and you need to send some money to them, you can do so quickly and efficiently using a prepaid card. It is also possible to have you wages paid into your prepaid card account as well.
Comments are closed!