Debit cards are prepaid credit cards, they will be issued to you as a Visa or MasterCard and can be used just like any major Visa or MasterCard. You can rent a car, reserve a hotel room, make purchases over the phone, shop online, and more. The first step is to fill out an application, and you should not pay a fee to be issued the card or to activate it.
It is common for card issuers to send you a card and then charge you up to $19.95 just to turn it on or activate it. However there are quite a few cards that will give the card for free and with free activation such as the prepaid American Express Card. Once your debit card is activated you must deposit money.
This is the idea behind your debit card, being prepaid. You can deposit money by quite a number of ways however you should look for free direct deposit. This can save you quite a lot of money if you are paying check cashing fees. You can also load cash by visiting WesternUnion, MoneyGram locations.
And you can purchase a GreenDot Money Pak or Visa ReadyLink and load cash that way, these are available at common retail stores; Walgreens, Kmart, Walmart, CVS, Rite-Aid, 7-Eleven, Kroger, Longs, and more. We have also seen the ability to transfer money from one card account to another, this would be ideal with a financially strapped loved one (student, parent, loved one, etc.) and we have seen a PayPal deposit option.
Online Bill Payment
You will also get access to an online payment system. You can send a payment or check to a business to pay your bills or an individual. It works just like a checking account you log in online and fill in the information of the payee: name, amount, date and press submit. And a check in your name will be mailed.
This is all without going somewhere, waiting in line, and the buying a money order. You can get this bill payment option for free with the best prepaid debit cards. It will enable you to schedule one time payments, future payments, and monthly payments.
Real Prepaid Debit Visa or MasterCard
This is a real Visa or MasterCard, the only person that will know it’s prepaid is you. You can use it all over the world. You can use it online and over the phone. You will be able to rent a car, buy gasoline at the pump, buy airfare, rent a hotel room.
And your card will be insured by a Zero Liability Policy. This protects your money in case your card is lost or stolen. You can sign up for free text alerts and email alerts about your account activity: upcoming payments, low balance, payments made. Your given 24/7 online account access often with some tools to help budget and manage your money.
Bad Credit or ChexSystems?
Prepaid debit cards were created to give individuals a credit card with bad credit, and the purchasing power of a major Visa and MasterCard. It is designed to give you an alternative to a checking account, both of these features are become more and more essential in our daily lives.
There is no credit check or ChexSystem check. You will are guaranteed approval. You don’t need a bank account or checking account! And you will never pay an overdraft or bounced check fee with a debit card. You also can rest assured that you will not create any debt because this is a prepaid debit card. You can only spend the money you put on the card!
If your searching how to raise your credit score, and looking for a credit card to build credit, then you will have to consider another option. Prepaid credit cards, do not report your account information to the credit bureaus, and because the issuer isn’t lending you any money, their isn’t any information to be reported.
You may instead, consider a secured credit card to rebuild credit, because these accounts will be reported to all three major credit bureaus, and with responsible use can build credit. Get a free credit consultation by calling 1-877-418-7596. And for more help and tips with Dan Willis, sign up for our free newsletter.
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