The new wave of financial responsibility for the future is the prepaid credit card. It allows you to have an itemized, on-line statement of your spending without incurring finance charges. It can help you teach financial responsibility to your teens and limit your own spending. Unlike regular credit cards, the spending is limited to the amount placed on the card. Just like any other tool, not all prepaid cards are equal. It is important to learn the best locations to purchase prepaid credit cards.
One of the best places to buy prepaid cards is your local credit union if you are a member. Navy Credit Union allows you to buy cards from $15 to $1000 and they charge no fees. If your card expires, you can get one reissued for $5 or a check minus $10. There are no charges for use during the first twelve months. The down side to these cards is that they can only be used in the United States and on U.S. military bases.
Banks are another good place to purchase prepaid cards. Wells Fargo allows you to place various amounts on your card for the same price of $3.50. There is no charge for the first twelve months of use. When the card expires, the amount left on the card (minus $15.00) is returned to the purchases via the mail or you can opt to have another card reissued for $7.50. These cards can be used locally and overseas although they must be activated before leaving the United States. Balance amounts can be checked online and via telephone.
Prepaid debit cards through netspend.com offer you choices. You can become a member or choose a pay as you go plan. While this may not be the best option for some, it offers some advantages that the credit union and the bank do not. You can make cash withdrawals and use it to pay bills. If this online company doesn’t interest you, go to creditcards.com and check out the other options available.
Convenience is paramount to some who would use prepaid cards. They are as close as your local CVS or Walmart stores. These cards are available in set amounts that you can add to online. Each denomination has a fee and, while these fees are at a higher than average rate, they are convenient. These cards are perfect for gifts, and can be easily purchased for your college student just before he or she leaves home. If they need cash quickly, you can add more online. This is also a feature most cards.
Check out your needs and your style, and head for the location of your choice. Prepaid cards, wherever they are purchased, can be a great tool for you.