Reliable Prepaid Debit Cards

If your credit score's not what it could be and you can't open a bank account that comes with a debit card, managing your everyday spending and making purchases can be a struggle. Fortunately, if you're in this position, you can apply for a prepaid debit card. They work in exactly the same way as a standard card when paying for goods and services but allow you the freedom of shopping and paying your bills with plastic without worrying about overspending.

Availability

Visa and MasterCard prepaid debit cards are available from a number of issuing banks around the country. You can apply for a card online, in an issuing bank's branch or over the phone. Prepaid debit cards are accepted by thousands of vendors around the world just like a standard debit or credit card. To the casual observer, a prepaid debit card looks and operates in exactly the same way as a regular Visa or MasterCard card.

Funding

You can add funds to most prepaid debit cards online, at a number of top-up points in shops around the country, and at your issuing bank's branches. You can also have your wages or benefit checks paid directly onto your card. Some issuing banks set a maximum amount you can add to your card, while others will allow you to load as much money as you like.

Cost

Some prepaid debit card providers charge a monthly fee for the service, while others will charge you each time you top your card up with funds. A few card providers will waive fees if you load a certain amount onto your card every month. a number of prepaid cards charge a fee if you withdraw money from certain locations, but the majority allow you to make purchases for free. Shop around for the card that's going to work best for you. If you're planning to top your card up frequently and regularly withdraw cash, you'll want to find a deal that charges low top-up and withdrawal fees.

Liability

As you can only spend as much money as you put onto your prepaid debit card, there's no chance of you incurring any overdraft fees or other charges. When your funds have run dry, your card will decline. The majority of prepaid debit cards allow you to check your account balance online if you're worried that your money's running out, helping you avoid any potentially embarrassing situations at the checkout. Some card providers will even send SMS balance updates to your cell phone.