Interest rates on credit cards are going up, costing you more money when you use a credit card. People are quickly ditching their credit cards and opting for a much for suitable option: prepaid cards.
Prepaid credit cards can be used to pay bills or make purchases anywhere prepaid cards are accepted. These cards don’t come with the restrictions or fees that credit cards and even gift cards come with. According to reports, issuers have to keep gift cards active for at least five years.
Drugstores and supermarkets all over are now selling prepaid cards. There are no penalty fees, or a minimum balance and best of all, no credit check. Prepaid cards are basically pay as you go. It’s impossible for you to get into any kind of spending trouble! Can you say that about a credit card?
The only fee you’ll have to pay with prepaid cards is when you first buy one. They can range anywhere between $3 and $7, depending on the card you’re getting and where you purchase it. Some companies will waive the upfront fee if you purchase the prepaid card on their website instead of the store. If shipping is free, this is a great deal that people should take advantage of.
Credit card fees add up and people just don’t have the money to pay those extra fees these days. While some can say it’s easier to carry cash, people prefer the prepaid cards as opposed to having to always have cash on them.
Prepaid cards are perfect for those with little, no or bad credit and don’t want to deal with a high interest rate credit card. All you have to do is fill up the card with a certain amount of money and you’re good to go. You can’t possibility get yourself into any kind of financial trouble like you can with a pesky credit card.