Prepaid Credit Cards

Prepaid credit cards are cards with the Visa and Mastercard logos. In appearance they resemble the traditional credit cards. In the stores the user can use prepaid cards to purchase the same things that regular cards can buy. An individual can do their weekly food shopping with a prepaid card. He or she can charge monthly services and subscriptions to a prepaid card.

The prepaid card can be used to order things online as well. When it is time for a family vacation, the cardholder can use his or her card to reserve a hotel. The difference between a prepaid card and a traditional card is that the prepaid card is funded by the cardholder.


Where to get Prepaid Credit Cards

A consumer can purchase a prepaid credit card at any participating retailer. Stores that offer these cards usually have them by the registers where people can see them. The prices of prepaid cards vary by retailer and issuing company. To activate the card, the buyer must supply the clerk with money to put on the card. Whatever amount of cash the cardholder puts on the card becomes the “credit” balance on the card. When the money runs out, the customer must reload to use the card again.

Prepaid credit cards are excellent for people who do not like to carry around cash. They are also convenient for paying bills, shopping, and making reservations. They are not good if a person would like to increase his or her credit score. Prepaid cards do not affect one’s credit history.

They are meant to help people manage their money better. They are intended to make certain tasks easier. It is so much easier for a person to go online and make a payment to a utility company with a prepaid card than in person. They come in handy in situations where paying in cash would be a hassle.