Credit cards have become an important part of our life. It has become a daily staple for whether to book flight, go for shopping, paying bills etc. Although it is not necessary to own a credit card, but still everyone needs one for convenience.
Most of the time people don't qualify for an ATM card or simply don't want, this is where prepaid cards become necessary. They usually do not carry a fees like credit cards. All prepaid services are not equal. There are various options of prepaid solutions which you can choose from. But before choosing one, look out these five important points.
Here are 5 things to look for before choosing a prepaid card
Monthly fees- There are various kind of prepaid services available. Most financial institutions have introduced zero monthly fees, but there are many who charge a monthly fee and or a low fee structure along with various benefits. Most organizations who do not charge a monthly fee usually charges other fees. You can choose from various options according to your needs and preferences.
Transaction fees- Often majority of these providers charge cardholders in terms of a nominal transaction fees. If you are not planning to use your card too often, then a nominal amount of transaction fees doesn't matter a lot, but if you will use your too often, then a card with a high transaction fee should not be your choice. There are many kinds of prepaid services, which do not charge any transaction fees. Thus you can choose from a variety of services available.
Deposit fees- There are many cards, which charge cardholders, when they make a deposit in the account. However there are many ATM prepaid card solutions provider that allow a minimum amount of free deposit, thus choosing these kind of card you can save the deposit fee by, deciding upon a budget for card funding. You can at least make one or two free deposits in the card.
Cash withdrawals- Every service providers do not allow to withdraw cash from the ATM using the prepaid card. If you are looking forward for cash withdrawal with your prepaid card, you need to look for services that would allow you to withdraw cash as well out of the ATM.
Money accessibility- When is fund is deposited some prepaid cards put a hold on the funds deposited for a time period, whereas, there are various solutions that allows to use the card directly once fund has been deposited into it. Thus look for solutions that allows direct use, once fund has been deposited into it.
Prepaid cards have become a popular alternative to make purchases, making payments or giving it as a gift. These services offer several benefits, but they too have conditions which you are required to know before acquiring one. Choosing the right kind of prepaid cards, involve careful selection of benefits the service provider are providing and checking with all the security factors.