Prepaid Credit Cards – How They Work
A Prepaid credit card is a great alternative to a bank account. They were designed for individuals with damaged or no credit history.
This is how they work; you deposit funds into your account/card. Then you make purchases using your card. The funds are withdrawn from your account to pay for the purchases.
The most popular methods of depositing funds are direct deposit, money gram or western union. If you choose to use direct deposit it will save you money because you will no longer have to pay check cashing fees. Most cards will allow you to use direct deposit for free.
Many cards also offer Bill Pay. This will allow you to use your card just like a checking account. You can write physical checks to pay bills such as your cable, utilities, rent, you can also write a check to an individual. This can save you money because you will no longer need to pay for money orders.
Prepaid credit cards can also be used at ATM’s to access cash. With this card you will never pay interest or overdraft fees again.
Many cards also offer another feature called credit builder. This feature will record your payments made through bill pay. It then reports them to a credit reporting agency. This can be used to show future lenders your credit worthiness.
These cards will be issued as a visa or mastercard. This means your card will be accepted everywhere the visa or mastercard logo is displayed. You can also use your card online and over the phone. You card will not say prepaid on it so no one will ever no the difference between your card and an unsecured credit card or bank card.
The best part about a prepaid credit card is it doesn’t matter if you have bad credit, little credit or no credit. They guarantee approval for everyone. There is no credit check or chexsystems verification.
In sum, these cards are much safer than carrying cash and are used just like any credit card. They also can function just like a checking account and approve everyone.
Watch the video related to prepaid credit card
www.compareprepaid.co.uk provides the ability to search for prepaid cards or credit cards. You can Review and compare a prepaid credit card for your needs, choose between Visa MasterCard and Maestro prepaid cards
Help answer the question about prepaid credit card
Is a Prepaid credit card still considered a major credit card?I'm fixing to start traveling out of town alot for my job and they are issuing prepaid credit cards with our names on them (so they look just like a credit card) for our spending throughout the trip on rooms, food, etc…. Are these cards still considered major credit cards? Will I be able to book rooms with these?
March 27th, 2009 at 11:46 am
This is the best one I know of
http://www.esuperfind.com/prepaidvisa.php?id=nt you can download the contract off their sign up page, it'll answer all your questions.
Also this is good but haven't tried it yet
http://www.esuperfind.com/accountnowprepaidmastercard.php?id=nth
March 27th, 2009 at 12:07 pm
they sell "giftcards" almost everywhere. they have visa, american express etc. make sure to buy a prepaid GIFTCARD because they dont have send you bills. they sell them in 10,25,50+ i think. but they charge a 5 dollar fee. so if you want a 25 giftcard then you'd probably end up paying 30 bucks. if you only want to order from one big name store like target or american eagle then you should go to their store and buy a giftcard because they dont charge you extra for their own giftcards. i hope you understand this:) oh and a visa giftcard is accepted where ever visa credit cards are accepted!
March 27th, 2009 at 12:41 pm
Compare prepaid is a great company. I saved a hello of a lot money using them
March 27th, 2009 at 10:39 pm
This is the link to their site, click help for questions.
https://www.paypal.com/
March 28th, 2009 at 12:32 am
You load the card with an amount of money, and you are able to spend only that amount you have loaded, when using your card, not more. Then you re-load it every time you need to use it.
March 28th, 2009 at 5:37 am
this article will answer your quiestion
Using Visa or American Express Gift Cards on Paypal
One of the most popular gift card questions online is whether one can link prepaid gift cards like the Visa gift card to a PayPal account. The short answer is Yes and No.
Now, the long answer: Yes, it is possible to link a prepaid gift card like the Visa or American Express gift card to a PayPal account but for this to happen, you need to pray and hope that PayPal does not require you to go through their Expanded Use verification process. To better understand why, you first need to be familiar with the process for linking a credit card to a PayPal account. When you link your credit card to a PayPal account, PayPal will attempt to confirm your address with your credit card company. If the credit card company is not able to confirm your address, then you may be asked by PayPal to complete their Expanded Use enrollment process in order to activate your credit card.
Expanded Use verification means PayPal will charge your credit card a small about. Next to the charge will be a unique, randomly generated 4-digit Expanded Use code. If you have online access to your credit card activity, the charge and code will appear on your card activity in approximately 2-4 business days. If you do not have online access, you must wait until you receive your statement in the mail to get the 4-digit code. If you are adding a debit card to your PayPal account, your 4-digit Expanded Use code will be printed on your bank statement next to the charge.
Once you get the 4-digit code, you have to return to your PayPal account to enter the code per instructions from PayPal. Once completed, and PayPal confirms that you entered the correct code, you will now be able to use the card for PayPal transactions. The Expanded Use verification process is designed to protect you against fraud by verifying that the person attempting to use the credit card actually owns the card. PayPal will later credit the amount charged to your card to your PayPal account.
Now, here lies the problem with using prepaid or bank issued gift cards. If PayPal is unable to verify your address with the gift card issuer, then you may be asked to go through the Expanded Use process. Since most prepaid gift cards do not issue monthly statements or provide online access to gift card transactions, it will be impossible to complete the Expanded Use process. Also, it is not a good idea to call the credit card or gift card issuer to get the 4-digit Expanded Use code. If PayPal receives a complaint from your card issuer that you called them to get the 4-digit code, PayPal will close your account permanently.
So, the first step to attempting to use a prepaid gift card on PayPal is to make sure the name and address (billing address) on your PayPal account matches the name and address on file with the gift card issuer. If you just purchased your prepaid gift card, call the card issuer and add your name and address to the card. If your information (name and address) has changed since you registered your card, call the card issuer or go online and update your information before you use the card on PayPal.
Once this is done, you just have to hope that PayPal is able to successfully verify your address with the gift card issuer. If they are able to verify your address, then you are all set. If they cannot verify your address with the card issuer, then you probably will not be able to use that gift card on PayPal.
March 28th, 2009 at 1:49 pm
Microsoft Office Live offer free websites but require credit card number for ID purposes. In two years they've never deducted a cent.
If you don't trust a site enough to give them your credit card number then you have to ask yourself if the site is worth dealing with at all. Prepaid cards are an unnecessary expense as they make charges for basic transactions – along with administrative fees – that don't apply with a normal credit card
March 29th, 2009 at 5:46 am
1. They work on sites that accept Visa credit cards.
2. The downside is that they usually charge fees at some point for the service.
The source is an excellent overview of the costs and benefits of prepaid credit cards.
March 29th, 2009 at 6:19 pm
It won't show up on a bill unless there is a fee. Some sites will have it automatically sign you up for a certain level of membership, or they will give you a trial of 3 or 7 days, but you have to cancel in order to avoid your card being charged after the trial runs out. Most people forget to cancel and then start getting the monthly charges, which will show up on the bill, but, porn sites will typically have the name show as something benign, much like in the old days they would send Playboy via mail in a brown inconspicuous wrapper to spare the recipient embarrassment.
I highly doubt that the chat sites that charge per min fees will allow you to sign up with a prepaid card, unless it is a site that allows you to buy blocks of time.
March 30th, 2009 at 3:44 pm
What is a Visa Reloadable Prepaid card?
The Visa Reloadable Prepaid card is a smart and cost-effective alternative to carrying cash and paying check cashing fees. Because it is a pre-funded card, you only spend what money you load on it and you can typically get it without a credit check or bank account. Simply purchase the Visa Reloadable Prepaid card, load it with the cash amount you choose and enjoy the purchasing power of Visa. You can use it to make purchases and pay bills anywhere Visa debit cards are accepted, including in stores, online or over the phone.
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How do I know the balance on my Visa Reloadable Prepaid card?
You can check the card balance at your card provider's web site or by calling them directly. Keeping track of your balance is a sure way to know how much you have to spend.
The provider issuing your card may also allow you to check your balance at ATMs or other locations. Contact your specific provider to learn about the balance-checking options they offer.
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You can add money to your card at the retail location where you purchased the card or through the direct deposit of your wages, tax refunds, or other disbursements, such as social security, child support, welfare or other payments. For details about adding money to your card, please contact the provider that issued your card (via the toll-free number or web site information that came with your card or card materials).