Prepaid Cards for Business: What You Should Know

Prepaid cards for business are considered one of the best financial tools around. After all, unlike debit or credit cards, you won’t be giving employees access to the company account. This is vital when safeguarding the assets of the company. That means you can rest assured no employee can run up any debt using the company credit card.

Prepaid cards for business also allows you to stay on top of your spending. You have the option to load whatever amount you want at the frequency that you deem fit. Also, unlike credit or debit cards, fees and other charges are very minimal. There are also no hidden charges or exorbitant interests.

If you are considering getting prepaid cards for your business, here’s all you need to know:

No credit history required.

Since no debt or credit is involved in the use of prepaid cards, your credit history won’t be looked into when you get one. If you are a new startup and have yet to build up your credit, prepaid cards can be ideal for you. Since you would be spending your own money, you won’t pay anything at the end of the month. This means you are also spared  from costly fees, interests, and charges at the end of each month.

You can empower employees.

Traditional options can restrict employees and can lead to poor spending practices. With a prepaid card, you can stay on top of all the spending. Not only that, you also have the option to limit the spending of those who are using the card and where they spend it. That means, everything is straightforward for you.

You won’t have to go through endless expense and spreadsheets just to see where money is going. Also, unlike credit cards, you won’t have to wait until the end of the month just to trace where all the money went. You also have the option to check daily if you wish so there are no surprises at the end of the month.

You can allocate expenses to several cards.

Prepaid cards for business can be great if you want to allocate certain expenses on different cards. This is crucial so you won’t have to put everything in one card and get all confused as to how the allocation was spent. For instance, you can allocate transportation expenses to one card, miscellaneous expenses to another, etc.

With this kind of setup, everything is very easy for you to trace and manage. If you so wish, you can check expenses at the end of each day so you can gauge if there is a need for you to load additional money or leave things as they are. And since you can check on a daily basis (or more if you like), you can easily spot any discrepancies if there are any.

Once the balance on a specific card has been depleted, you have the option to wait until the start of another month to load money on the card or you can load it immediately if you still have remaining budget left. The great thing is loading money onto the card is a breeze. Depending on what the issuers have set in place, you have different loading options to choose from.

Compared to other options like credit or debit cards, fees and charges are typically very minimal. There is also no need to worry about going over the credit limit. Once the balance has been all used up, spending also stops automatically. Fortunately, you can always load money onto the card anytime you want to. Once the money has been loaded successfully, you can use your card right away.

What to Consider When Choosing a Prepaid Card

Over the years, the best prepaid cards have earned quite a following. This is not exactly surprising as the best prepaid cards come with peerless benefits that are truly hard to miss. In 2015 alone, more than half of Americans purchased prepaid cards for personal use. That’s a massive rise compared to just 19 percent in 2008. 

If you’re considering getting a prepaid card but unsure if it’s the right fit for you, you’ve come to the right place. This article will cover all you need to know about prepaid cards so you gauge if it’s the best option for you and you will know what to consider when getting one.

Prepaid cards work more like a debit card than a credit card.

While prepaid cards look just like the typical debit or credit cards, they are actually very different in terms of features. Unlike credit cards where the bank will have to pay for your purchases first, with prepaid cards, you will be spending your own money. Also, unlike debit cards, your prepaid card is not connected to any bank account.

The great thing about prepaid cards is you can also use them for purchase transactions and ATM withdrawals just like you would when you’re using a credit or debit card. Prepaid cards are also often backed by major financial institutions so they are accepted and honored by many merchants the world over.

Your prepaid card can also be used for online purchases. This is one thing many people find really inviting. After all, it spares them from all the hassles associated with going to the malls, braving the traffic, and dealing with fellow shoppers and sales clerks.

Prepaid cards can be a great alternative to banks.

If you don’t like dealing with banks or would like to avoid the hassles associated with it, prepaid cards can be a wonderful alternative you can look into. In the United States alone, a whopping 68 million people have no checking account. Fortunately, they can use prepaid cards as an alternative. 

What makes prepaid cards a truly enticing alternative is how easy they are to obtain. Unlike prepaid and debit cards where you have to submit financial documents and personal information and subject yourself to credit and background checks, prepaid cards are straightforward to get. No credit and background checks and no need to submit any financial documents or personal information!

They can help you manage your money accordingly.

If money management is a challenge for you, you are not alone. Many people also find it extremely difficult to manage their money accordingly and stay on top of their spending. Fortunately, prepaid cards can be your most powerful and helpful ally. For starters, all the transactions you will do using your card is deducted directly from the balance available.

When using credit cards, you can do purchase transactions and carry out ATM withdrawals while “borrowing” money from the bank. In other words, the bank pays for the purchases first and you’ll have to pay the bank at a later date plus interest. The unfortunate thing is it’s easy for you to spend even if you are not allowed to or can afford to.

With a prepaid card, all the spending will be deducted from your balance in real-time. Once the available balance on the card has been depleted, the spending also stops. You won’t also be able to do any transactions if the balance on the card is already zero. You however have the option to load money onto the card so you can use it again for whatever transactions you have in mind.

New to Prepaid Cards? Your Basic Introduction

Through the years, prepaid cards have become widely popular. A Pew survey even indicated that prepaid card use from 2012 to 2014 increased by as much as 50 percent. From the time they were first introduced, prepaid cards have truly come a long way. Nowadays, it has evolved into one of the most preferred payment options available.

What are Prepaid Cards? Here’s All You Need to Know!

If you are reading this, it is likely that you are considering getting a prepaid card. Or maybe you may already have one but don’t know how to use it fully yet. Fortunately, you’ve come to the right place. This article can serve as your short but comprehensive guide to one of the best financial tools you can get your hands on.

What are Prepaid Cards

Prepaid cards look no different than the typical credit and debit cards. However, unlike the two, prepaid cards are not linked to any bank account. They also need to be preloaded with money before they can be used for ATM withdrawals and purchase transactions. 

In addition, unlike prepaid cards, you won’t be “borrowing” money from the bank when you use it. With credit cards, the bank pays for your purchases first and you’ll just pay the bank at a specified date. With a prepaid card, you will be using your own money—the balance that’s available on the card.

Many people mistake prepaid cards for gift cards. While they do have certain similarities, they are actually two separate and distinct financial tools. Unlike prepaid cards, gift cards are designed for one-time use only. In other words, once the balance available on the gift card has been depleted, you won’t be able to load money onto it or use it again.

How to Use Your Prepaid Cards

Just like debit and credit cards, prepaid cards can also be used for online and merchant transactions. And unlike gift cards, prepaid cards can be used to withdraw money. Prepaid cards are typically affiliated with established financial networks. That means, they are also honoured and accepted in establishments associated with the financial network.

Each time your prepaid card is used, the money is deducted directly from the balance that’s available on the card. If the balance is not enough to pay for a specific purchase, the transaction will be declined. Also, if the balance available on the card has been depleted, you have the option to load money onto your card at any time you deem convenient.

The frequency of the loading will also depend on what’s convenient for you. You can load money, weekly, monthly, or quarterly, whichever suits your needs. You even have the option to load money on the card daily if you want to!

What to Consider When Choosing a Prepaid Card

Nowadays, there’s no shortage of prepaid cards you can choose from, that picking the one that’s best for you has become quite challenging. Fortunately, you can narrow down your options by asking yourself a few key questions about your possible use of the card. For instance, it is more convenient to load money through direct deposits or through network reloads?

If you prefer the latter, it would be ideal to pick a prepaid card whose reload network is easy for you to go to. Another important factor you should take into account are the fees and charges. In line with this, examine the transactions you often do using your prepaid card.

Take note of the patterns you’ll notice in terms of card use and identify those transactions you perform more often. Understandably, it would be best to choose a prepaid card that charges less for those transactions you perform often.

Practical (and Smart!) Reasons to Get a Reloadable Prepaid Card

In today’s technology-driven and fast-moving world, seamless and cashless transactions have almost become the norm. In other words, nowadays, almost all financial transactions are carried out using a debit, credit, or reloadable prepaid card.

Without doubt, these awesome and undeniably ingenious tools have become the financial tools of choice by many over the years. However, of the three mentioned, the reloadable prepaid card is the most recent addition.

While relatively new, it is reassuring to know that reloadable prepaid cards are not inferior in any compared to other cards in terms of the convenience and ease offered. Given that you know all the basics of your reloadable prepaid card, you’ll be able to maximise and enjoy all the benefits it has to offer.

Reloadable Prepaid Cards: Your Smart and Practical Plastic Card Alternative

If you’re considering getting a prepaid card or you already have one but clueless when it comes to the benefits they offer, we’ve listed them down for you. While there’s no shortage of benefits reloadable prepaid cards offer, some of the most remarkable ones include:

They are so easy to obtain

Have you tried applying for a bank account or a credit or debit card? If you have, you can definitely attest to how hard they can be to apply for. For starters, you’ll have to go through those time consuming and meticulous credit and background checks.

If anything, you’ll have to be prepared to submit financial documents and share personal information.

If you’ve made a few financial mistakes in the past (i.e. issuing bouncing checks or not paying bills on time), it is very likely that your application will be declined. Thankfully, even if you don’t get your hands on a credit or debit card, you can easily obtain the next best thing—reloadable prepaid cards!

With reloadable prepaid cards, you no longer have to worry about submitting financial or personal documents. That means you are also spared from those tedious credit and background checks.

What’s even better? Since reloadable prepaid cards don’t come with credit capabilities, you are spared from the risk of spending beyond your means.

They can help you manage your money better

When you use a credit card, you need to always be aware of your spending. Otherwise, you can end up buried in a mountain of debt that will take years for you to fully pay.

Come to think of it, you can easily get stuff and pay for them at a later date. Unless you’re being really wise with your spending, you’ll always have to constantly deal with the temptation of spending more than you’re supposed to.

Thankfully, with a reloadable prepaid card, you won’t have the same dilemma. Since you get to decide how much to load to the card, you can also limit your spending to the balance that’s available on the card.

You are free from the impulse to purchase things you don’t really need just because you can pay for them at a later time.

As if not enough, prepaid cards can also be very effective as a budgeting tool since it allows you to easily track your spending. It is also considered ideal for those who want to strictly adhere to the budgets they’ve set.

They can make shopping online really easy

Shopping in stores and malls especially during these times of quarantines, lockdowns, and social distancing has become extremely challenging. Of course, for most, it’s also not practical or safe.

The good thing is, your reloadable prepaid card can be used to shop online so you don’t have to go out to get what you want. To ensure the safety of your online transactions, be cautious about the sites you’ll purchase items from.

Spend some time to check if they are indeed legit and trusted. Fortunately, with reloadable prepaid cards, your risk is way lower even if it is compromised since it is not connected to your bank accounts or any of your personal or financial information. Truly, safety, ease, and convenience you can’t find anywhere else!

Answers to the Most Common Prepaid Card Questions

Simply put, the best prepaid cards are the ideal alternatives to carrying money around. You just load money onto the card and you can use it for purchase transactions and ATM withdrawals instantly.

If you are considering using prepaid cards but don’t know much about it, you’ll find all you need to know about this amazing financial tool in this article.

Prepaid Cards: Answers to Frequently Asked Questions

Are there different kinds of prepaid cards?

Basically, there are two different types of prepaid cards: single-use (non-reloadable) and reusable (reloadable) cards. Rebate cards, incentive cards, promotional cards, and gift cards are some classic examples of non-reloadable cards.

In other words, you only get to use them one time and you won’t be able to use them for other transactions after.

The best prepaid cards on the other hand can be loaded and reloaded with money whenever you deem fit. That means you can also use it for purchase transactions and ATM withdrawals given that there is money available on the card.

How are prepaid cards different from gift cards?

Unlike prepaid cards, gift cards come with a predetermined amount of money loaded onto them. It also cannot be reloaded once the balance on the card has all been used up. Gift cards are also usually designed to be given as gifts.

On the other hand, you can use your prepaid card as many times as you want as long  as there is balance available on the card. Once you deplete all the money on the card, you have the option to load money onto it so you can use it again.

Can prepaid cards help me build credit?

Prepaid cards won’t help you build your credit as you are not borrowing and repaying money. If anything, all you’re doing is accessing the money that you have loaded to the card.

To build credit, you need to borrow money and pay it back. The creditor also has to report your payment record to major credit reporting agencies.

How can I choose a prepaid card that suits my needs best?

Since there are various prepaid cards to choose from nowadays, you need to do some research before diving in. Fortunately, a quick Google search can already give you an idea if the card you are considering suits your needs and your lifestyle.

For instance, if you want a prepaid card you can use to shop online, it makes sense to get a card that will require a per-use purchase fee as opposed to a monthly fee.

However, if you use your prepaid card similar to a debit card, it would be ideal to go for one with a low monthly fee. It would also be a good idea to see if you can qualify for a fee waiver.

How can prepaid cards help me manage my money?

Nowadays, even those individuals who have access to banks are using prepaid cards,  thanks to all the amazing benefits they offer. One thing many people love about prepaid cards is the fact that it is a great and effective budgeting tool.

Some prepaid cardholders use different cards for various purposes. For instance, grocery money for the month is loaded on one prepaid card while the budget for food is loaded on another.

As soon as the balance on the card has been depleted, they will wait until the end of the month until they load money onto the card again.

In a way, prepaid cards can effectively help you manage your spending since your transactions (purchases and ATM withdrawals) will be limited by the balance that’s available on the card.

Once the balance has been depleted, your spending also stops automatically.

Prepaid Cards: Fast Facts You Should Know

Basically, the best prepaid cards work like a combination of a credit card and a checking account. Oftentimes, they are issued by bank holding companies and are branded by established financial institutions.

Before the best prepaid cards can be used, money needs to be loaded on the card first. Just like a credit card, prepaid cards can be used for purchase transactions (online and at merchants) as well as for ATM withdrawals. Also, akin to most credit cards, prepaid cards are honoured where most credit cards are accepted.

While prepaid cards share a few features in common with credit cards in terms of functionality, it’s financial side is more identical to that of a checking account. What that means is any amount spent or withdrawn will be deducted from the total balance available on the card. In addition, prepaid cardholders won’t be able to spend beyond the balance that’s on the card.

Prepaid Card Fast Facts

If you’re considering getting a prepaid card, here are some fast facts you need to know:

  • For some, prepaid cards are the convenient alternatives for various transactions that will require the use of credit cards. That being said, prepaid cards can be especially beneficial for people who don’t have access to banks or have minimal to zero knowledge in terms of how they work.
  • Prepaid cards can also be awesome for people who have no access to banking services or those individuals who are locked out of the banking system because they have poor credit scores.
  • Those who like to give gift cards as tokens would be delighted to know prepaid cards provide a much better alternative thanks to some of the beneficial features they come with. For instance, some prepaid cards come with protection in the event of loss or theft.
  • Most of the time, cash cannot be used to pay for online services or products. Fortunately, prepaid cards can be used to pay for transactions done online. Unlike gift cards, prepaid cards can also be used to withdraw money from the ATM.
  • Thanks to the topnotch benefits they offer, prepaid cards have evolved into one of the fastest growing niches in the financial sector. In fact, many experts project the number of prepaid cards sold to rise by as much as 22 percent annually from 2015 to 2020. Another prediction indicated that the total amount that will be loaded by prepaid cardholders will rise to as much as $116 billion by the year 2020.
  • To be able to pick the best prepaid cards for your needs, consider it best to analyse your spending habits first. From there, opt for a card that will charge less in areas where you are more likely to be charged. For instance, if you use your card for a lot of transactions, it would be wise to choose a prepaid card that will waive fees each time you exceed the money transaction limit.
  • Another beneficial tip you should keep in mind when looking for a prepaid card is structure that you can easily understand. You have to remember that some prepaid card providers use the flat-free model while others charge users for most card transactions. Analyse your monthly card activities so you can gauge if a flat-free model would be a good fit for you.

New User’s Quick and Comprehensive Guide to Prepaid Cards

Over the years, prepaid cards have become quite massive. In fact, a Pew survey revealed that prepaid card use exploded by as much as 50 percent from 2012 and 2014. Since they were first introduced, prepaid cards have evolved into one of the preferred payment methods especially for those who don’t have access to banks.

In addition, prepaid cards have also become a favourite among millennials. In fact, many see prepaid cards as the consummate alternative to the traditional bank accounts as well as other plastic cards.

How Well Do You Know Your Prepaid Cards?

If you’re like most people, it is likely that you’re considering getting a prepaid card. If you don’t know much about it, here’s your quick and comprehensive guide to one of the best financial tools now available.

What are prepaid cards?

Prepaid cards look almost identical to credit and debit cards. However, unlike the latter, prepaid cards are not linked to any bank account. They also have to be preloaded with money before they can be used. Also, unlike credit cards, you won’t be “borrowing” money from the issuer. Rather, you are using your own money, the one you preloaded in your card. 

Gift cards are also classified as prepaid cards. However, gift cards are designed for one time use only. Reloadable prepaid cards on the other hand are designed for repeated use, given of course that the card has money in it. Fortunately, there are several convenient ways to reload money onto a prepaid card.

How can I use my prepaid cards?

Just like credit and debit cards, prepaid cards can also be used for merchant and online transactions. They are also often affiliated with established credit and financial networks. That means they are also accepted and honoured in establishments associated with the network.

Each time you use your prepaid card, the purchase or withdrawal amount will be deducted directly from the balance that’s available on your card. In other words, your transactions will be limited by the balance that’s available on your card. 

If the amount available in the card is not sufficient to cover a certain purchase, your transaction will be declined. Suffice it to say, prepaid cards can be very beneficial budgeting allies as they won’t allow you to spend more than you can afford to. When used for ATM withdrawals, you’ll need a personal identification number (PIN).

How do prepaid cards differ from credit cards?

While both cards can be used for both ATM and purchase transactions, they have a few distinct differences. Case in point: when you have a prepaid card, you need to reload money onto your card before you can be used. 

It’s the opposite when using a credit card since you don’t need to shell out any of your own money. The issuer will pay for your purchase or withdrawal first and you will pay for the purchase or withdrawal at a later date.

Transactions using a credit card are considered a loan so your credit history as well as your statement balance will be reported to major consumer credit bureaus. Transactions you do using your prepaid card will not be reported.

What do I need to consider when choosing a prepaid card?

Prior to choosing a prepaid card, it is important that you figure out how you will be using it. For example, would you prefer reloading money through reload networks or direct deposits? If for example, you prefer the former, it would be best to pick a reload network that’s easy for you to go to. 

Another important thing you need to look into are the charges and fees. In line with this, you need to also identify the transactions you’ll usually do using the card. Ideally, it would be best to opt for a prepaid card that charges less for transactions you often do.

Practical Reasons to Get a Reloadable Prepaid Card

In today’s modern and highly connected world, convenient and cashless transactions made possible by credit, debit, and reloadable prepaid cards have become the norm. Nowadays, these highly innovative financial tools have become an integral part of many people’s day-to-day activities.

However, while several of these ingenious plastic cards are deemed a staple by many, it is surprising to note that not everyone is fully aware of their ins and outs. Unfortunately, this is especially true as far as reloadable prepaid cards are concerned since they are considered new compared to their other counterparts.

Practical Reasons to Get a Reloadable Prepaid Card

If you are one of the many who’s considering getting a reloadable prepaid card but still unsure if it’s the best fit for you, below are some of the practical reasons you can take into account:

You no longer have to deal with tedious and time-consuming credit and background checks

Let’s face it, while important, credit and background checks can be time-consuming, stressful, and just downright annoying. However, whether people like it or not, credit check are deemed an integral part of credit and debit card applications.

Since credit cards have credit capabilities, banks adhere to a very strict process in terms of background checks. These checks can sometimes include checking the applicant’s personal, financial, and even employment history.

When you’ve made significant financial blunders in the past (i.e. issuing bouncing checks, not paying your credit card bills on time, etc.), you’ll have a very slim to zero chance of getting your applications approved.

Fortunately, if you wish to obtain a reloadable prepaid card, you are spared from all the hassles of submitting financial documents or undergoing background checks.

More than anything however, you are spared from the risk of accumulating mounting debts as well as paying for over the roof interests, fees, and other charges.

You can use your reloadable prepaid card as an effective budgeting tool

Do you need help when it comes to managing your money properly? Do you always find yourself accumulating massive credit card debts? Do you find it hard to stop overspending? If you are experiencing any of the dilemmas mentioned, you’d be glad to know you have a reliable ally in reloadable prepaid cards.

Unlike credit cards, reloadable prepaid cards don’t come with credit capabilities. That means it is a lot easier for cardholders to stay on top of their spending since their spending will be limited to the amount that’s available on the card.

Once the balance in the card has been depleted, spending also stops automatically and users can’t use the card until money has been successfully loaded onto it again.

You can use it to shop online effortlessly

Whether you admit it or not, shopping in stores has become quite draining lately. You need to get dressed, load gas on your vehicle, brave the traffic, and deal with total strangers as well as sales clerks.

Fortunately, if you have a reloadable prepaid card, you can use it for online shopping so you don’t have to deal with any of the inconveniences and hassles associated with shopping in stores.

Regardless if it’s clothes, gadgets, or whatever else you need, you can purchase it online using your reloadable prepaid card. The process is both quick and effortless.

All that’s needed is for you to visit the site you want to purchase items from, pick the items you want, and order and pay for the item with just a few mouse clicks.

The items will be shipped to you and you’ll be done in just a few minutes right without the need to leave the comfort of your very own homes or offices.

What are the Peerless Benefits of Using Prepaid Card for Business?

Nowadays, prepaid cards have become the ultimate financial tool for people who don’t have a desirable credit, those who have issues managing their credit cards, or those who want to curb overspending. 

However, apart from making their way into the hearts (and wallets!) of consumers,prepaid cards for business have also found their way in the business world. 

In fact, for many, prepaid cards for business have become the consummate card of choice for those who are looking for exceptional budgeting tools they can use to ensure the smooth operations of their business. 

The Unbeatable Benefits of Using Prepaid Card for Business

Prepaid cards for business users can attest using them provides peerless benefits that are hard to miss. For starters, they are now used to set aside money for supply and logistics, employee meals and fare, travel and emergency funds, and many others.

So what are other reasons that make prepaid cards ideal for business? 

They are easy and straightforward to use. If anything, prepaid cards won’t require much of a learning curve. This is especially true if you’re already using other plastic cards like debit or credit cards. More often than not, they work pretty much the same way except that it’s not tied to any savings or checking account.

They are easy to load money to. Loading money onto your prepaid card is quick and effortless. However, that’s not all. With a prepaid card, you have the luxury to load any amount you wish at anytime you deem convenient. You also have the freedom to decide on the frequency you’ll load money on your card.

They can help businesses still to the budget they’ve set. While a lot of factors can help warrant the success of any business, proper use of resources, including money is one of the things that ranks high on the list. With a prepaid card, adhering to the budget you’ve set has never been easier. Monitoring of transactions is also a breeze.

The Enticing and Peerless Benefits of Using Prepaid Card for Business

Prepaid cards for business provide a lot of unbeatable benefits. Some of the most notable ones include:

● They can help businesses effectively and easily control and regulate their spending. This ability can help ensure businesses stay efficient.

● Loading money on the card is quick, straightforward, and hassle-free.

● Since no credit checks are required to obtain a prepaid card, application is fast and easy.

● Having and using a prepaid card will not have any impact whatsoever on your credit standing. In addition, it will not affect your credit in any negative way.

● No learning curve is needed when using a prepaid card since they work pretty much like the rest of the plastic cards.

● With a prepaid card, monitoring transactions has never been easier. This brings peace of mind as you are able to easily track your spending and stay on top of your finances at all times.

● Prepaid cards are not linked to any checking or savings account. This means prepaid cardholders are spared from paying huge overdraft charges or those exorbitant monthly interests, fees, and other charges.

Prepaid cards can be an exceptional financial tool so businesses can easily segregate business from personal expenses. The ability to keep both expenses separate can help you better manage both personal and business-related funds more effectively.

● Prepaid cards make it very easy to keep tabs on the spending habits and patterns of employees. In addition, with a prepaid card, monitoring expenses and spending limits is very easy. You are also spared from the risk of accumulating mounting debts you might not be able to pay off easily.