How Prepaid Cards Can Protect Your Finances

image1

 

 

Visa prepaid card can be a more convenient alternative to debit and credit cards, often being billed as a safer, cheaper alternative.

These cards can be used just like any other, making it possible for cardholders to complete purchases in-store or online, anywhere that are accepting credit cards, as well as offering the ability to withdraw money from ATM machines. Prepaid cards can also be helpful when it comes to managing your money, being effective at helping you to better keep track and limit your spending.

Listed below are a few ways in which using these cards can help to safeguard you and your finances:

Spending Abroad

Visa prepaid cards are quickly becoming a preferred payment method for those of us who travel abroad. To use it, the cardholder can load it with holiday money prior to your trip and use it just like you would any other card. This allows you to avoid carrying around piles of foreign currency while you’re travelling. Just make sure to buy a prepaid card!

The number one advantage of taking a prepaid card with you on holiday is that it’s safer. Prepaid cards operate similarly to cash, with any potential risk limited to the amount of money placed on the card at any given time. In the unfortunate and inopportune circumstance that your bank card is stolen or lost, you simply need to contact the bank card company to freeze your card and, you may even be able to get a replacement expedited to you.

Spending Online

Consumer fraud rose by 26% last year alone, according to Financial Fraud Action UK (FFA UK) the use of prepaid cards can help to minimize the risk of consumer fraud when making purchases online.

Prepaid cards can help to reduce this risk by limiting the amount of potential losses to what has been loaded to the card. This unlike debit or credit cards, which will be linked to a bank account or line of credit, preventing a potentially far greater risk.

Credit Check is Not Required

The application for a prepaid card does not require a credit check, making them more accessible than credit cards and doesn’t leave a search footprint on your credit history that can be seen and found by other lenders. Something which could potentially have an impact when requesting credit in the future.

You Will Never Get into Debts

Visa prepaid card have no credit facility. This means that you are only ever able to spend money that has been pre-loaded onto the card. This is helpful for preventing you from getting into debt. If your wallet is lost or stolen, the risk is limited to the money that is on your card at the time, making prepaid cards much safer than debit or credit cards.

You Have Full Control

For those who struggle with discipline to manage their spending, reloadable prepaid cards can make life far easier, as only the amount of money loaded to the card is available. This makes prepaid cards particularly useful when it comes to being accountable with your money and for reaching savings goals.

All these reasons together make prepaid cards the perfect solution for managing your daily expenses. This will put you in full control of your finances and your spending.

Visit www.t24blackcard.com for more information on prepaid cards.

About the author:

. Follow him on Twitter / Facebook.