Some Frequently Asked Questions About Prepaid Card

You may have heard the term ‘prepaid cards’ often. But do you know the exact meaning and the concept behind this type of card. Maybe you don’t know everything about prepaid cards. There are many people around who don’t have a complete understanding of the prepaid cards, about their use, the associated pros and cons and many other things. To become aware of all these things, questions related to prepaid cards are asked frequently by numbers of people. Here is list of some frequently asked questions as well as their answers about prepaid cards.

What is the prepaid card? – It is the foremost question that comes to mind upon hearing the word prepaid card. Well, its answer is that prepaid card is a type of money card which is preloaded with desired amount of cash money in a currency of your choice and can be used for various purposes such as shopping, making online payments etc.

What is the benefit of having prepaid card? Anyone who would like to have a prepaid card will certainly be curious to become familiar with the associated advantages. Prepaid card is a good option for those who don’t want to take the risk of running up debt. It is because you can use only that much amount of money which has been preloaded by you in the card, hence it helps in avoiding over-expenditures.

Where the prepaid cards are used? It is another important question to ask as one can utilize all services associated with prepaid card, if he is fully aware of its uses. So the answer is that it can be used for shopping, making online payments, holidays spending and even can be given to kids in the form of pocket money. It is a good way to teach kids the value of spending within the set budget.

How to choose the right prepaid card? Since there are many prepaid cards available in the market and over the internet, therefore you may get confused which one to select out of them. For this, you will have to compare various plans offered by different prepaid cards such as travel money, online shopping etc. You must take into account the purpose of buying prepaid card and then go ahead accordingly.

Is any fee required for getting and using a prepaid card? Whenever any service is provided to us, a definite amount of fee is charged in lieu for it, so you may be curious to know if the same formula applies on prepaid cards also. The answer is that some prepaid card providers offer free of cost prepaid cards and even free usage too. However, some providers do charge a minimal amount of application fee as well as monthly charges for its use.

Are prepaid cards safe to use? While carrying money in the form of cash, security is the most important issue for us. Since prepaid cards are also a form of plastic money, therefore, we want to be sure about its security as well. All prepaid cards are protected by unique pin number which is known to its holder only and hence can’t be used by anyone else. Moreover, in case you lose your prepaid card, then the relevant account is sealed by the prepaid card provider so that it can’t be misused and a new card is issued in its place to the respective customer.

 

These are some of the prepaid card faqs that you should ask before applying

 

 

 

Tags: debit card, prepaid credit cards, prepaid debit card, prepaid visa, visa prepaid card, walmart prepaid card

Category: Credit Cards, Debit Card, Saving Money