If you’ve got a prepaid card, you probably already know about all the wonderful ways you can use it. But if you don’t, then listen up: here are the five best things to do with a reloadable prepaid card. We bet you’ll want to sign up for one before you can get through all five. Here we go:
1) Use a card everywhere you need to (and want to) without going into debt. Having a credit card is convenient. Who wants to carry cash all the time? But sometimes, it’s tempting to stop keeping track of what you’re spending, when you’re putting it all on a piece of plastic. With a prepaid card, you can’t get in over your head. You load the money onto the card first, and when it’s gone, it’s gone. The card will be declined if it runs out of funds. So there’s no worry about racking up debt or paying it off later. It’s the best of both worlds, if you’re not sure you want the responsibility of budgeting to pay your balance off later.
2) Stick to your vacation budget. Similar to the above, but specific to a vacation or another event, you can control your own spending when you go out of town, away for business, or to a family event. Decide how much you want to spend before you go, put that amount on the prepaid card, and then go and enjoy yourself. You won’t be able to spend more than you planned if you don’t use anything besides the prepaid card, and maybe a little cash that you bring for cash-only places.
3) Have your paycheck direct deposited. Does anyone go to the bank to deposit paychecks anymore? Well, yes. Some people do. But for most of us, direct deposit is the best thing to happen to payday since—well; it’s a great thing. The only problem is if you don’t have a bank account. This is more common than people realize. Due to bank fees and other issues, many people are “unbanked.” In other words, they don’t have a bank. If you want your pay direct deposited and you are unbanked, a prepaid card is your answer. Your employer can deposit your paycheck directly to your reloadable card. Another bonus? You often avoid a maintenance fee if you receive a direct deposit on your card each month.
4) Avoid bank fees. See above about the unbanked population—some of who are purposely unbanked to avoid the fees. Reloadable cards often have lower fees than traditional checking accounts, or ways to avoid the fees, like getting direct deposits and making bill payments. If you’re fed up with your checking account fees, consider a prepaid card instead.
5) Give money to your loved ones. Prepaid cards can also act as gift cards. Whether you want to give $50 to your niece for graduation, or you want to give your college student son a $500-a-month allowance, a reloadable prepaid card is the perfect way to do it.
What are you waiting for? Get your prepaid card today.