Prepaid credit cards have created a wave of excitement over the past few years for people that have bad credit, no credit, no bank account, or need help controlling spending. Being able to have all of the conveniences of a credit card without the impending debt or bad spending habits that traditional credit cards can create has made them excellent choices for payment methods. A prepaid credit card is much like a gift card in that it is preloaded with funds, however unlike a gift card, it can be used anywhere credit cards can be used; be that at local merchants, online, or even to pay bills. Here is a look at how to obtain and use a prepaid credit card.
Step 1- Shop for a prepaid credit card. Many financial institutions offer prepaid cards but you can also find a great variety and selections online. A quick online search will produce a number of results which you can then compare to find one that suits your needs. Each card will come with different fees or charges, but each card can also offer a number of features such as reward benefits or free ATM withdraws, etc. Take the time to compare the selections and choose one that you feel comfortable with using.
Step 2- Start your shopping! The great thing about prepaid cards is that they can be used in the same manner as a credit card. Many rentals, such as cars and hotels, will require a credit card in order for you to secure a rental. If you do not have a credit card, a prepaid credit card can be used instead. Use the prepaid credit card to make purchases at the mall, at a restaurant, or even at your favorite online store. It's a lot safer than cash since it cannot be easily lost or stolen. The good news is that many prepaid credit card companies even offer protection against theft and fraud, just as a traditional credit card company would offer.
Step 3- Always track your purchases and check your balances. You can only spend as much as you have loaded on the card itself so make sure you keep track of what you have left on the card. Reloading is easy and many prepaid credit cards can be loaded by direct deposit of your paycheck. Check the reload terms before you purchase a prepaid card so you know all of your options and can choose one that is easy to use and reload.
Step 1- Shop for a prepaid credit card. Many financial institutions offer prepaid cards but you can also find a great variety and selections online. A quick online search will produce a number of results which you can then compare to find one that suits your needs. Each card will come with different fees or charges, but each card can also offer a number of features such as reward benefits or free ATM withdraws, etc. Take the time to compare the selections and choose one that you feel comfortable with using.
Step 2- Start your shopping! The great thing about prepaid cards is that they can be used in the same manner as a credit card. Many rentals, such as cars and hotels, will require a credit card in order for you to secure a rental. If you do not have a credit card, a prepaid credit card can be used instead. Use the prepaid credit card to make purchases at the mall, at a restaurant, or even at your favorite online store. It's a lot safer than cash since it cannot be easily lost or stolen. The good news is that many prepaid credit card companies even offer protection against theft and fraud, just as a traditional credit card company would offer.
Step 3- Always track your purchases and check your balances. You can only spend as much as you have loaded on the card itself so make sure you keep track of what you have left on the card. Reloading is easy and many prepaid credit cards can be loaded by direct deposit of your paycheck. Check the reload terms before you purchase a prepaid card so you know all of your options and can choose one that is easy to use and reload.