Who Uses Prepaid Debit Cards?
Prepaid debit cards are often used by those who don’t qualify for a checking account or credit card, usually because of bad credit or other reasons. However, prepaid cards can be useful to others as well.
Prepaid debit cards can be a useful tool for teenagers entering adulthood. For those teens looking for a way to manage their income from an after school job, prepaid accounts don’t require a minimal balance like most banks accounts. Usually requiring only a valid social security number (age requirements vary from company to company); teens can set up their own prepaid account or be a second card holder on their parents account.
For parents, prepaid cards eliminate the frustrations that come with giving their children cash allowances. Once their child has been added as a second card holder, parents can give them an allowance by electronically adding funds or loading cash to the account. Also, since the parent is the primary account holder, they can check the activity of the account to ensure their child is spending their allowance responsibly. Even for children who head off to college, parents can continue adding funds to the account. Friends and family, who prefer giving money as gifts, can also add funds to the account.
For some, prepaid cards can be used as a way to discipline spending habits. Since prepaid cards only use deposited funds, excessive shoppers may see them as a healthier alternative to credit cards. By using a prepaid card instead of a credit card, items are not bought on credit, eliminating the headaches of high interest rates.
Also, people trying to establish themselves after bouncing checks or filing for bankruptcy often find prepaid cards as a useful tool for getting back on their feet. Some companies offer programs that help build a positive payment history. Good account behavior, such as paying bills on time, is submitted to credit reporting agencies to help demonstrate credit worthiness.
Among its many uses, prepaid cards provide a tool for keeping up in a society that is becoming increasingly dependent on electronic forms of payment.
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I disputed a transaction and Account now has the proof the money was not dispensed to me and they still have not credited the funds back to my account and this has been ongoing since October 30. In November I called and she stated the funds would be credited back to my account on December 3 and December 5 Yesterday when I called no pending desposits and could not get through to Avanna who told me I had to wait for the investion and then other rep told only one transaction would be credited back to my account but it would be December 8,2009 I am so frustrated and disgusted I entrusted this institue because it was FDIC insured and back up by the Visa logo. I feel as I am a victim of a hanice crime. I have proof and documenation to support my dispute account now took the funds from my account and someone it holding it because I haven’t recieved a penny of my own hard earned money.