Tips On Using A Prepaid Debit Card for A Holiday Vacation


Prepaid credit cards or prepaid debit cards are great alternatives to regular credit cards.  A prepaid card can be used for payment much like a standard credit card.  In addition, most prepaid cards are widely accepted by merchants anywhere in the world, particularly cards that bear the Visa or MasterCard logo.

Many travelers prefer to use prepaid debit cards so there’s no need to bring a large bulk of cash.  This holiday vacation, are you planning to use a prepaid credit card too?  If yes, consider the following tips on how you can make the most out of your prepaid card:

Choose a prepaid credit card with minimal set of fees.  Some people may be reluctant to get a prepaid card because of the fees.  True, some issuers of prepaid cards charge very expensive fees which make these cards a poor choice.  Watch out for prepaid credit cards that are endorsed by Hollywood celebrities as these are more likely to carry expensive fees. By doing comparison, you should be able to find a prepaid card with reasonable and minimal set of fees.

What kinds of fees should you be aware of?  How much is the monthly fee to keep your account active?  .  Some prepaid credit cards may offer rewards but don’t forget to check the monthly maintenance fees as well as the yearly fee.  Another important cost is the reloading fee which is usually present in most prepaid credit cards.  If your prepaid card is linked to a savings account, you can simply transfer funds from your account to your prepaid card for free.

However, if you’re going to purchase load from a store location, you might incur a fee each time you need to reload.  Reloading fees can prove to be a burden.  Can you load your account online?  Better yet, can you reload for free?  You also want to make sure that you will be able to reload your account without a hassle while you’re on a trip.

Read the fine print. Although it’s easy to acquire a prepaid credit card, you should still spend some time reading and understanding the terms of use.  If you plan to use your prepaid card overseas, you should be well aware of the policies of the card issuer.  While prepaid cards may offer better currency exchange rates, you should still watch out for currency conversion fees which might be the same with a regular credit card.

Another important factor to consider when using a prepaid debit card to purchase items overseas is that you are not provided with the same protection as regular credit cardholders.  This is why consumers should only buy from a reputable merchant.  You should also scrutinize the product well before purchasing the item.

Know the limits.  Some hotels and car rental companies may not accept online reservations using a prepaid debit cards.  Before going to your destination, it’s a good idea to do the necessary inquiries from a hotel or a car rental company you plan to acquire service from.  It is still also a good idea to bring a regular credit card on your trip just in case you might need to use it for an emergency.

About the Author:
Tara Tiemann is the credit specialist for http://www.go-prepaid.com.  Which is a resource site for people who want to live debt free! If you are on a budget, using a prepaid credit cards and prepaid debit cards can save you big money!


About Liz Roberts

Liz Roberts is the new credit specialist for Go-Prepaid. If you are on a budget, we can get you discounted cell phone service from Sprint, Verizon and T-Mobile! NO CREDIT CHECK ! Using a prepaid services can save you a TON of money! Follow our blog to find out how!

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