PREPAID CARDS

Prepaid Cards are NOT credit cards, they are "stored value" or "reloadable debit cards". Prepaid cards only allow you to spend the amount you have deposited into an account in advance. However, they do carry a MasterCard® or Visa® logo and can be used wherever these credit card brands are accepted. The major advantage of a prepaid card is its lack of finance charges, but they tend to have fees for every action you take with them. It is impossible to run up a large debt on them, since all purchases are PREPAID (paid in advance). Most prepaid cards charge various fees, including monthly fees, application fees, over the limit fees, ATM fees, and more. Please, check their terms and conditions and fee schedules carefully before applying for them.

A Prepaid Card is a magnetic-stripe plastic card that is usually issued by a bank. Consumers can spend up to the value loaded on the card, and can reload the card at anytime. The Stored Value Card utilizes encrypted communications and electronic banking protocols to create a secure solution for the cardholder and the merchants. As with a credit or debit card, holders of Stored Value Cards are able to purchase goods and services from participating online merchants as well as all PIN based POS systems. As with traditional credit, debit and ATM cards, holders of Stored Value Cards are able to withdraw cash from all ATM machines. Unlike traditional credit, debit, or ATM cards, Stored Value Card holders can obtain a card without regard to their credit history, ability to open a bank account, or the balance in an existing bank account. Unlike traditional bank tied credit, debit or ATM cards, Stored Value Card holders can usually fund their card by using Western Union®, MoneyGram®, ACH, Bank Wire or other Credit Cards.