Archive for the ‘business’ Category
These days, more transactions take place with credit and debit cards than cash. Using ‘plastic’ is simply more convenient. Carrying and managing a card in your pocket is easier and safer. You can’t shop online or place orders over the phone with cash. It’s a huge hassle to try to pay your utility, cellphone, or other bills with cash rather than online or over the phone with a card. And how in the world would you pay for your Xbox Live membership with cash?
Despite the many advantages that plastic has over cash, there are certain drawbacks, which can cause serious financial problems for many Americans. Credit cards charge high interest rates and debit cards carry the risk of insanely high overdraft fees. Who hasn’t at one time or another failed to monitor the account balance and made a couple of small purchases after the funds ran out? Banks make a large percentage of their profit by gouging their customers with huge fees for every little, understandable mistake. They even design their computer systems to make it more likely that you will incur an overdraft charge. Millions of Americans have lost the ability to open a bank account because they owe overdraft charges to one bank or another.
What the banks don’t want you to know is that there is an alternative to their ridiculous fees. Prepaid credit cards give you all the same freedoms as a debit card. You simply load your card with your money, and use it to make purchases, pay bills, or for anything else you would normally use a debit or credit card for. There are no interest fees or overdraft charges. You don’t need a bank account. Credit checks are not necessary since there is no loan. It’s your money! In fact, you can even help build or restore your credit by using a prepaid credit card.