Prepaid Credit Cards - What Are Your Options? by Benjamin Wise


Prepaid credit cards are in demand as the Internet marketplace continues to explode. Though their popularity is new, it is really a new spin on an old idea. They used to be called secured credit cards. Banks offered them to new customers with little or no credit history.

Today, major credit card companies have pickup on the idea and turned it into a useful financial tool. Think of the card as a plastic gift certificate. You decide the credit limit at the time of purchase.

It is accepted anywhere the card logo is displayed: It provides security from identity theft. Prepaid credit cards are easy to purchase and can be found at most grocery stores and large retail stores. H&R Block offers to deposit your tax refund on their prepaid credit card in leu of a paper check.

Cards are reloadable by directly purchasing credit at a merchant or online. Others offer a direct deposit feature. This feature allows you to forward your payroll to your credit card. Online support comes with most credit cards. The account ledger sheet, bill pay reminder and purchase organizer are now standard.

Convenience does have its price. Check the fee schedule very closely. If you have to call the company, automated services are free but a fee is charged to talk with a representative. Monthly service fees begin after 90 days. Be cautious of ATM machines. Not all machines have the same fees.

Though a prepaid credit card does not carry all the features of a regular credit card, it does allow anyone to participate in today's global economy.

[ezinearticlesdotcom]