Prepaid credit cards are a tool to get a credit card without having to open and open a bank account with a bank. What prepaid credit cards can I get, what are their terms and conditions and which is the most advantageous?
Most often, prepaid payment cards are set up by parents to their children. As a result, they have control over their children’s pocket money and lead them to responsible financial management. As a result, children receive a credit card that they can use to make payments both personally and online.
Save on online payment methods
Their own payment card thus helps them grow up in the sphere of banking institutions and gain awareness of the management of their savings. As a result, children can also save on online payment methods when making online payments – direct card payments are almost always free and easy.
The advantage is also that the rechargeable prepaid credit card cannot be overdrawn. A person, and especially a child, does not run into the risk of debt, as is the case with a credit card or overdraft.
Rechargeable prepaid credit cards tend to be free of charge – often only a top-up charge.
Advantages and disadvantages of prepaid cards
There are many advantages of a prepaid card – the main ones include:
- early experience of children with payment instruments and money management,
- controlling parents of their finances and their children’s pocket money,
- zero risk of debt,
- the card operates without a bank account and is anonymized,
- Thanks to the prepayment, the creditworthiness of the candidate when acquiring the card is not solved.
On the other hand, the disadvantages of a rechargeable prepaid card include:
- the card must be charged in advance,
- the need to pay a fee each time you recharge,
- often limiting the charging options.
Some prepaid cards can only be topped up online via a payment gateway, while others can be recharged in person at rechargeable branches. The first case is more suitable for parents because children cannot recharge the card themselves. The latter can be problematic if the charging point network is not wide enough.
The charge for recharging is usually relatively low and tends to be fixed – that is, it does not increase or decrease depending on the amount being charged.
Offers and comparison of prepaid credit cards
There are a number of prepaid credit cards on the market and knowledge about individual offers can be difficult and take a lot of time. Below is a comparison of the main offers of these cards with their terms and conditions.
Good Finance wallet
Good Finance wallets are the well-known tabloid and the company GFIC, a subsidiary of Sean Cole.
To use Good Finance, it needs to be charged in advance and can still be treated as a conventional credit card – it can be used to make payments in physical stores, on the Internet and abroad. This is a SureCard and is therefore accepted by all merchants with this payment terminal.
The use of Good Finance Wallet is diverse, from the replacement of children’s pocket money, a dedicated card for safe shopping on the Internet to an interesting form of financial donation. The advantage of the card lies in its anonymity. In 2017 the distribution of Good Finance wallet was terminated.