| Prepaid credit cards have been around for over | | | | Fees |
| ten years now, although they are just now | | | | Just like the bank, some prepaid credit cards |
| coming into the spotlight. Prepaid credit cards are | | | | charge fees on your transactions. Some prepaid |
| basically credit cards backed by major credit card | | | | credit cards will charge you ATM fees or cash |
| companies that offer you the ability to deposit | | | | withdrawal fees. These are the most common |
| money onto the card and then use it for | | | | fees with prepaid credit cards. Some cards |
| purchases. You are not allowed to spend anything | | | | however may try to charge you a monthly usage |
| more than you have deposited in most cases. It | | | | fee. Try to get aprepaid credit card that does not |
| is a great way to teach students good financial | | | | charge this monthly fee. They exist out there, so |
| responsibility. There are a lot of advantages to | | | | just search. You will save yourself a lot in the long |
| prepaid credit cards, and only a few | | | | run by avoiding a monthly fee on your prepaid |
| disadvantages. However, before committing to | | | | credit cards. |
| any prepaid credit cards, you should be clear on | | | | Direct Deposit |
| the company's rules and fees. | | | | Prepaid credit cards often have the ability to allow |
| No Credit Checks | | | | you to directly deposit your check onto your |
| One great thing about prepaid credit cards is that | | | | card. This eliminates the need to go to the bank |
| there is usually no credit check required. This | | | | each week. This is the perfect option for the |
| makes prepaid credit cards ideal for those with | | | | cardholder that uses their prepaid credit card for |
| lousy credit scores or even those without any | | | | everything. Take advantage of these convenient |
| previous credit to build their credit. If you have | | | | options, as they can save you time. The truth is, |
| bad credit, this is a nice way to slowly rebuild | | | | prepaid credit cards are responsible ways to |
| your credit score. Creditors will see the card on | | | | spend money. They give you the optionof using |
| your report and see if you use it responsibly and | | | | your money anywhere credit cards are taken |
| often. | | | | without leaving you with a high monthly bill. |
| No APR | | | | Prepaid credit cards can also offer reward |
| Many prepaid credit cards offer no APR on | | | | programs and other incentives similar to regular |
| money deposited and your purchases. Some do | | | | cards. They are convenient and low risk. As with |
| charge high interest rates on your balances | | | | any credit card, make sure your prepaid credit |
| however, so beware. There is no reason you | | | | cards have terms which with you agree. It is |
| should pay a monthly interest rate on money you | | | | better to read everything before rather than |
| have deposited or on purchases. Therefore, you | | | | later. |
| should certainly look for cards that offer no APR. | | | | |