Benefits of a pre paid debit card

For some people, having a credit card may seem like a bit of a temptation to spend. While cutting up all of the plastic in your wallet may seem like a good idea to keep temptation at bay, in today’s modern world it can be difficult in certain circumstances to manage without a card of some sort. Fortunately what’s called a pre paid debit card may be the answer to the dilemma!

In fact, this form of plastic card is not really a credit card at all. When you use them, the money you spend is money that you already have loaded onto the card either as cash sum or a bank transfer. The cash loaded on the card is the maximum that you can spend, giving you control over your money – and no late payment or interest charges.

This typically makes a pre paid debit card a safe and simple way of paying for items:

1) you don’t have the risks of theft or loss that can sometimes accompany carrying large amounts of cash
2) if the card is lost of stolen, you just notify the card provider and ask for a stop to be put on the card. This prevents someone else from being able to spend your money
3) you also have the convenience of being able to purchase things where a card is essential, for example items on the internet or over the telephone

Prepaid cards are available from internet online providers. Because they are not credit cards and will only allow you to spend what you already have, you may find that credit history checks are not necessary.

Some prepaid card suppliers also provide e-bank accounts. An e-bank account, if it is available from your prepaid card provider, can typically provide you with many of the benefits of a standard bank account. You could have your salary paid straight into it for example and it is possible to set up standing orders to make regular payments. You can manage your funds online and view recent transactions and statements.

If you find that you do need cash in hand, you can use the pre paid debit card in just about any standard hole in the wall machine. In common with many other types of cash card though, you may find that the amount of cash you can withdraw in any one day is limited (say to £250 per day, though this may vary depending on your provider).