Reloadable Debit Cards are Smart Financial Tools

There is a financial tool that is getting very popular lately; it is a prepaid debit card. Basically these cards work on a pay-as-you-go basis which means you can never spend your way into debt the way you can with a credit card. That is because you can only spend what you have already loaded onto the card.

Prepaid cards are reloadable debit cards. You can keep funding them over and over again in different ways. You can purchase reload packs to move your cash onto a card or you can set up automatic deposits from your checking account or your payroll check. In fact, you can even set it up so that your tax refund can load up your card.

In comparison to credit cards, prepaid debit cards are much safer tools to use. Since you can not overspend with one you end up making smarter decisions about what you buy which keeps you on your budget. You end up spending less in the long run too because you never pay interest on top of your purchases like most people do with credit cards. That actually means you have more money to spend on the things you truly want and need.

Prepaid debit cards can be used just like traditional credit cards too online, at your local store, or at your ATM. They are real bank-issued MasterCards and Visa cards. And they are accepted everywhere credit cards are accepted.

Another benefit of prepaid cards is that you don not have to have a great credit score to obtain one. In fact, you don not have to have a credit score at all. That is because you purchase a prepaid card and do not go through a credit check. All you really need is to be at least 18 year old and have valid identification to get one. That is really handy for folks who do not have credit or have fallen on hard times.

So for those looking to stick to a budget, making use of reloadable prepaid debit cards can really help. They curb overspending and help you stay on track with your finances. They can be a great alternative to credit cards for many people. You should give one a try.