Tuesday, October 4, 2022

What Is The Best Reloadable Credit Card

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Canada Post Prepaid Reloadable Visa Card

Reloadable Prepaid Cards – 5 Tips For Best Reloadable Debit Card

Forget Credit Checks or Bank Accounts

This card is ideal for those who dont have a bank account and are looking for a reloadable prepaid card. You just need to visit a participating Canada Post location and use cash or debit to add money to your card. You will, however, need valid government-issued photo ID to use the card. The downside of this card is that it has pretty high fees, such as $15 to buy the card and a $3 a month maintenance fee.

Note, however, that the sale of new Visa Prepaid Reloadable cards will be temporarily discontinued as of June 1, 2021.

Please re-visit Canada Post for updates about the new upcoming Visa card program.

Key Features:

  • Perks: Dont need a bank account to buy and use, no credit check
  • Withdraw Fees: $2 for every ATM withdrawal in Canada, $2 for ATM withdrawals outside of Canada
  • Spending Limits: Maximum card balance of $10,000, with an overall max of $40,000 for the life of the card
  • Other Fees: $15 to buy the card, $3 a month maintenance fee, as well as a 2.5% foreign transaction fee

*This card is owned and issued by DirectCash Bank pursuant to license by Visa International. The Visa Brand is a registered trademark of Visa International.

Cibc Ac Conversion Visa Prepaid Card

This card is unique in that it can hold more than one currency at a time, saving you the hassle of currency exchanges when you are travelling abroad.

The CIBC AC Conversion prepaid card can take up to 10 currencies including USD, EUR, GBP, JPY, and more. After locking in an exchange rate, you can simply make payments in the currency of your choice. You dont need to be a CIBC-customer to apply and the bank does not run a credit check.

  • Monthly fee: $0
  • Reload method: Online banking
  • Best for: Holding multiple currencies

Regular transaction fees apply if you need to make an ATM withdrawal outside Canada the first ATM withdrawal is free each month.

Is A Gift Card A Kind Of A Prepaid Card

A gift card is different from a prepaid card. You need to understand that a gift card is specifically for shopping at a particular store or stores. You cannot withdraw or send money using a gift card. Prepaid cards have the option of sending money, shopping at accepted points as well as withdrawing cash from ATM points. You can use a prepaid card to buy a reloadable gift cards with no fees from merchants who sell them.

Again, money loaded in prepaid cards does not expire. You can use it at any time you wish. Gift cards can expire. It means that when you receive one, you should use it within a specified time. After that, the card becomes a mere plastic.

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Best For Direct Deposits: Netspend Prepaid

  • Fees: Up to $9.95/month
  • Availability: Almost everywhere Visa is accepted
  • Rewards: Cash back from eligible purchases

Netspend Prepaid lets you get your paycheck up to two days faster, making it our top choice for prepaid debit cards that are best for direct deposits.

  • Reward details arent spelled out

What we like: The Netspend Prepaid card allows you to get paid up to two days faster with direct deposit. You can load money onto your account using mobile check deposit, reload at over 130,000 locations, or receive money from friends and family who have Netspend cards.

You can choose between two plans that have varying fee structures depending on your deposit habits. Pay-As-You-Go is the default plan, which charges no monthly fee, but $2.00 for each signature or PIN transaction. The Premier Fee Advantage Plan is the best value if you have a direct deposit of $500 or more. Youll pay $9.95 per month and transactions are included in the plan.

What we don’t like: Fees can add up quickly. There’s no way to avoid some kind of feeyou’ll either pay the monthly fee or transaction fees. And keeping your card active is key to avoiding the inactivity fee of $5.95, which applies if the card isnt used for 90 days.

  • Monthly Fee: $0 for PAY-Go or $9.95
  • Reload Fee: Up to $3.95 for cash reloads
  • ATM Withdrawal Fee: $2.50

Setting Limits And Teaching Your Kids How To Spend Responsibly

Prepaid reloadable debit cards

Plus, since you are the one to load money onto the card and you can only use however much money you have put on the card, this is a good option for young adults or teenagers who havent learned how to be responsible with money yet. Its a good teaching tool to train them how to spend consciously. You can also look at some good credit cards for students if you want to compare benefits.

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Whats The Difference Between A Prepaid Card And A Credit Card

When you use a prepaid card, youre spending money that youve already loaded onto the card and in most cases you cant spend any more than this. This can be confusing because prepaid cards may still have a credit card logo like Visa or MasterCard on them.

When you use a credit card, youre essentially borrowing money. You dont need to top up the card in advance and you can get into debt and get charged high rates of interest. So in this way prepaid cards are very different to credit cards.

Other Prepaid Debit Cards We Considered That Didn’t Make The Cut

Here are some other prepaid debit cards we looked at and our reasoning for not choosing them as our favorites:

  • Walmart MoneyCard: This is a good option if you shop at Walmart frequently, because you’ll earn cash back but cash back is limited to $75 per year.
  • Fifth Third Access 360 Reloadable Prepaid Card: You might like this card if you live near a Fifth Third branch, but branches only exist in 10 US states.
  • Wells Fargo EasyPay Prepaid Card: This card is a decent option if you live near a Wells Fargo branch and ATM, but there’s a $5 non-waivable monthly service fee.
  • Greenlight: This is another worthwhile option for families, but there’s no way to deposit cash, and there isn’t a free ATM network.
  • Nestspend Prepaid: You can receive your paycheck early with Netspend, but its fees are higher than what you’ll pay with our top picks.
  • Starbucks Reward Prepaid Card: Purchases will earn you Starbucks rewards, but you can’t make ATM withdrawals with this card.

Read Also: How Do I Check My Cabela’s Credit Card Balance

Final Thoughts On Reloadable Prepaid Cards

Prepaid cards and debit cards are not the same thing. However, they have similar functions. If you are looking for a card that you can use to purchase items, without having to link it to a bank account, a prepaid card may be your best bet. Some prepaid cards, however, come with hefty fees. To avoid extra spending, you should find a prepaid card that doesnt require you to pay additional fees. In this article, we discussed the pros and cons of the nine best reloadable prepaid cards with zero fees. To find the right card for you, consider your needs, as well as what you plan on using the card for.

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Best For Saving Money: Mango Prepaid Mastercard

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Heres why: While some other prepaid cards allow you to set aside money in a separate savings account, youll be hard-pressed to find a card thatll reward you more for doing so than the Mango Prepaid Mastercard®.

Its savings account offers an annual percentage yield, or APY, of up to 6% on balances as high as $2,500. Youll get a 0.10% APY on balances higher than that.

To qualify for the 6% APY, youll need to make at least $1,500 in signature purchases each month and have a balance of at least $25 in your savings account at the end of the month. Signature purchases are transactions in which you dont use your PIN to authorize the sale.

But there are some fees to be aware of.

  • Theres a $5 monthly fee, which the card issuer waives if you receive at least $800 in direct deposits each month.
  • Theres no activation fee.
  • Theres a $3 fee for domestic ATM withdrawals .
  • You may pay a fee to load cash onto the card, but it depends on how and where you load money onto the card.

Learn more about the Mango Prepaid Mastercard® in our editorial review.

Read Also: Ulta Ultimate Rewards Credit Card

What Is A Prepaid Debit Card

A prepaid debit card is a type of payment card that only lets you spend the money you load onto the card. They dont help you build credit. Like a debit card, a prepaid card works at any merchant that accepts its payment network, such as Visa, Mastercard or American Express. Its safer and more convenient than using cash. Usually the prepaid card has a mobile app to deposit checks and transfer money. Learn more on our guide to prepaid debit cards.

Unlike checking accounts, prepaid debit cards may lack some services such as free ATM or branch networks, checks, among others. If that doesnt work for you, see our list of best checking accounts. Or, if youve struggled with banks before, check out second chance checking options.

Prepaid Vs Credit Card

Figuring out whether your card is prepaid or credit can be confusing because both can have network symbols on the front of the card, such as American Express, Visa or Mastercard. But they are very different.

A credit card is a lending product. With a credit card, you charge a purchase, then you can pay it back in full by the due date and avoid paying interest charges. Alternatively, you can carry the balance to the next month and pay interest. The going APR for credit cards vary depending on the type of card, but the average is 16.13% per our rate report.

A prepaid card uses your money to pay for purchases. You load the card with the amount you want, then use the card as you would use a credit card, presenting the card at the register. The difference is you dont pay interest fees because you are using your own money you arent borrowing. However, prepaid cards can have fees for signature purchase transaction fees, PIN purchase transaction fees and foreign transaction surcharges. That said, prepaid cards can have features such as the ability to get text messages or email alerts with the Blue Netspend Visa Prepaid Card.

Advantages to credit cards are that you can use them to build credit, and you can use them to borrow money. Prepaid cards are helpful when you have had difficulty with credit or you dont want a checking or savings account.

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Key Factors To Consider

If you are thinking about getting a prepaid card, weigh your options before buying one. Heres what to consider.

Do you need a prepaid card? If you dont want to open a checking account, perhaps because of minimum-balance requirements or fees, a prepaid card can be used as an alternative.

It can also help you stay within budget. You could have one card, for example, just for buying gas, another to keep your coffee spending in check, and a third, perhaps, for holiday shopping.

And there are other smart uses for prepaid cards, including teaching teens and younger children how to manage money, and protecting seniors from scams. It can also be a better way to give money, instead of a gift card, because of its wider acceptance and better loss-liability protections.

Where should you buy a prepaid card? They are available in many stores or online. Youll see cards with catchy but unfamiliar brand names as well as cards from traditional banks, including BB& T, Chase, and U.S. Bank. Our recommendation is to consider cards such as the American Express-Walmart Bluebird, Chase Liquid Visa, and Green Dot Prepaid Visa.

What are the fees, terms, and conditions? Look into this because they differ dramatically among providers. They can be difficult to compare because not all prepaid-card issuers use the same terms.

Among the fees to compare if youre considering a prepaid card:

Purchase fees

Pros And Cons Of Debit Cards For Teens

Best Prepaid Debit Cards of 2020

Debit cards and prepaid cards for teens have these benefits and drawbacks:

Pros

  • Unique features. Some debit cards and most prepaid cards for teens have unique features not found in regular adult-oriented prepaid cards. For instance, several prepaid cards come with chore and allowance tracking, parental controls, instant transfers from parental accounts and automatic saving tools.
  • Financial literacy. Both debit and prepaid cards can help your kid learn how to spend responsibly without any risk of ruining their credit, but prepaid cards often have more financial literacy tools.

Cons

  • Fees. Most debit cards for kids are free, but prepaid cards for minors often have monthly fees, ATM fees, cash reload fees and card purchase fees.
  • Doesnt build credit. Most debit cards and prepaid cards wont help your teen build their credit, but accounts like Step Banking, which leverages secured loans, can help teens establish credit.

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Is There A Prepaid Debit Card With No Fees

There are so many credit and debit cards available these days. Their various associated perks and rewards, finding the best reloadable prepaid debit cards with no fees, may seem like a fatiguing task. But we have presented some of the lists of card that we believe are any of the best options on the market.

Unfortunately, fees are also a fact of life, especially when youre dealing with money these days, it can think to be like you pay fees on your money no matter whether you are trying to earn it , store it , or spend it .

For some states, prepaid debit cards can be a no-fuss way to cash paychecks and make a few bargains without dealing with bank accounts or credit cards. But even prepaid cards can come with an abundance of stinky fees. So, we have mentioned some of the most fee-free of the bunch in the following to help you find the right prepaid card.

  • The best with no reload fees: NetSpend Visa Prepaid Card.
  • Best with No Monthly Fees: NetSpend® Visa® Prepaid Card
  • Best with No ATM Fees: The American Express Serve®
  • Best with No Signature Transaction Fees: NetSpend® Visa® Prepaid Card
  • Best with No PIN Transaction Fees: PayPal Prepaid Mastercard®
  • The best with No Foreign Transaction Fees: Bluebird by the American Express

On the above, shortlists arent the only prepaid debit but also credit cards.

Should My Teenager Get A Credit Card

You might think your child is far too young to use a credit card. But youll find three big reasons why it could be a good idea.

1. It can teach your teen how to use a credit card responsibly for the future.

After adding your teen as an authorized user, you have control over their account and can see how they use their card. With insight into their spending, you can more effectively teach them solid financial habits. Its better for them to learn from you now than figure everything out on their own later.

2. It can help your teen build credit early.

Most people start with a brand-new credit history when theyre ready to get a credit card. This usually means theyre limited to student cards and secured cards, both of which typically come with limited features. You can help your teen build an impressive credit history before they reach adulthood. Just add them as an authorized user on your account and consistently make payments on time. When they turn 18, their credit may be strong enough to expand their card options considerably.

3. Its a convenience for parents and kids.

Sometimes you could forget to give your kid cash for meals at school, transportation or supplies. Getting your kid a credit card can help you avoid unpleasant situations and avoid cash theft.

Be careful about giving your child a credit card

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Best For Budgeting: Akimbo Prepaid Mastercard

  • Availability: Everywhere MasterCard is accepted
  • Rewards: None

Akimbo Prepaid MasterCard is ideal for budgeting because you can create a separate card for each of your budget goals and you can easily manage them all from the app.

  • No enrollment fee

  • 99-cent fee for each PIN purchase

  • Dormancy fee

What we like: Akimbo lets you create a separate prepaid card for each of your budget goals, and you can manage each card from within the Akimbo app. The first sub-account can be added at no cost and each one after that is $4.95 . You can schedule weekly autoloads for recurring expenses. You can also disable and enable cards at any time from within the app, as well as receive text updates after each transaction.

There is no enrollment or monthly fee. Moreover, there’s no transaction fee for signature purchases, but youll pay 99 cents for each PIN purchase transaction. ATM cash withdrawals are charged $1.98 for each transaction and ATM balance inquiries are charged 33 cents each.

What we don’t like: If your account is dormant for 12 months, youll pay a $5.95 dormancy fee beginning in the 13th month.

  • Card Purchase Fee: First 2 cards are free $4.95 for each card thereafter
  • Monthly Fee: None
  • Reload Fee: Cash reload is $5.95
  • ATM Fee: $1.98

Cibc Smart Prepaid Visa Card

Best Prepaid Debit Card The 7 Key Features

This prepaid Visa card can easily be purchased through online or mobile banking, or at a CIBC Banking Centre.

The CIBC Smart Prepaid Card is acceptable wherever Visa is accepted and you can load the card using funds from your CIBC chequing, line of credit, or saving account.

This prepaid card is free to order however, customizing it to show your information comes at a cost of $5.95. Replacement cards also cost $14.95 each.

A standard 2.5% fee applies to foreign currency conversions.

Other reloadable Visa prepaid cards include:

Canada Post Prepaid Reloadable Visa Card: . It offers purchase protection and extended warranty insurance.

Scotiabank Prepaid Reloadable Visa Card: . It offers 1 SCENE pointfor every $15 you spend using your prepaid card.

Also Check: Cabela’s Club Visa Apr

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