Prepaid Credit Cards
A prepaid credit card is more akin to a debit card than a credit card. It can be used in most businesses that take a standard Visa or MasterCard, but the credit limit is based upon how much of your own money is on deposit with the institution. In essence, you pre-pay for the privilege of using your own money.
First let me tell you what's not good with prepaid credit cards:
• Your money is tied up for the amount of you credit limit
• You are charged a fee if you are late with payments to your own account
• There is generally a set up fee, monthly fee and other charges that are added on before you get to use the card.
You'll often see ads in the mail that offer you a Visa or MasterCard - GUARANTEED - no matter if you are in bankruptcy or have the worst credit money can't buy. They make it sound really great - now you can have a credit card just like you had before you screwed up your credit rating. When you get these - scrutinize every word and know exactly what the costs are before you commit your hard earned money.
If you sift through enough offers, you are bound to find a bank-backed card that will actually help you rebuild your credit without too much cost.
Now, once you decide on a prepaid credit card, here is what is good for you:
• No one knows it's a credit card that is backed by your own assets
• It can be accepted where many debit cards are not accepted
• The card looks like any other credit card and eliminates any stigma that may follow you around when you tell someone you don't have a credit card.
• You cannot go over your credit (debit ) limit.
• You'll never be in debt for spending money that you don't have.
• Discipline on your spending habits becomes the normal way of doing business
• IT WILL HELP YOU BUILD YOUR CREDIT
The last item above is really the most important. Having a good credit score and good credit is vital to the way we life in this century - there is no getting around it.
When shopping for a prepaid card, try to determine the length of time you may need it and the purpose for which you are going to use it. That will help you decide which is the best offer in the myriad of options available.
Some of these cards have rewards programs attached while others have fraud protection. Some charge interest on your use, while others actually pay interest on your account - but that is a rarity..
Click on one of the links to find a sampling of various options.
GOOGLE ONE
EZINE