Top 5 Reasons Benefits of a Prepaid Visa
Author: Deborah Drum
There are many great benefits of having a prepaid visa card and the great part about it is that it is very easy to get approved for one…..even if you have bad credit!
The first benefit is that there is absolutely no credit check required to sign up for one. You can sign up right online and Visa guarantees 100% approval. As many of us know, sometimes it is really hard to get a credit if you have bad credit. The credit card companies might give one to you and charge really high interest rates and a lot of fine print and no one should really have to deal with that. I know the government is trying to do away with credit card companies and their devious ways of putting things in their fine print, but I am just very skeptical these days of that. Another great part about not having your credit run is that every time your credit is run, your credit score goes down – did you know that?? It does. So if you are in the process of buying a home and you don't want your credit score to go down, don't run your credit too many times!!
The second benefit is there are no overdraft fees! An overdraft occurs when withdrawals from a bank account exceed the available balance. With the visa pre-paid card, you can't make a mistake because it is impossible to exceed your limit! Also, we all know that identity theft unfortunately occurs quite often, so if someone gets a hold of the prepaid visa card, overdraft fees is one less thing that we have to sort out with the bank. For this reason and many others, having the prepaid card is safer than carrying cash!
A third advantage is that the prepaid card is better than a credit card! You can only spend the amount of money that you have on your card, so there is no way that you can spend money that you don't have. This is a good way to control spending for yourself or even any members of you family, like a son or daughter in college. Because you're not borrowing money, you will never have to worry about finance charges, late charges, or over-the-limit fees.
The greatest advantage of all is that remember above when we said that there is no credit check to sign up for the card? Well, when you get approved for the card and start using it, you can actually better your credit history!!! So not only are you using a very safe card because you can't spend money that you don't have and you can't possibly exceed your limit, there are 2 ways that you can help your credit history. One way to do this is paying online and to take advantage of the free credit builder program that reports your bill payment history to PRBC, a credit bureau.
Last but not least, the card works just like a checking account, but since it will have the visa logo on it, you can make purchases in stores and online with the card. Unlike a checking account though, there is no minimum balance that you have to have on the card, so you don't ever have to worry about how much money you have on the card if you forgot to fill it up before you went to bed one night! In the end, you will also be saving lots of money because there are never any late fees and no finance charges. You also have the ease of using the direct deposit service free of charge!
Everyone is accepted when they apply for the prepaid visa! As long as you have valid identification, expect to be accepted!! If you have bad credit history or no credit at all you can still get a prepaid card because your credit is never checked. Even if your banking history isn't great or you are on Chexsystems you are still eligible to get one of our prepaid card accounts. You have nothing to lose!!
