There are many types of financial products such as prepaid credit cards and travel money cards available on the market today
. You need to review all your available options and compare their key benefits before deciding on the right choice for you.
Basic Bank Accounts with Debit Cards
Basic bank accounts with debit cards are offered by most banks. A basic bank account with debit card facility is a kind of current account that can be used for receiving payments into your account. They usually do not invite monthly fees but offer free banking.
They are suitable for those people who are new to banking and looking to open their first current account. If you are someone who doesnt want to spend more than you earn or have had debt problems earlier, the basic bank account is ideal for you.
However, basic bank accounts do have their disadvantages. Even though you cant overdraft with these accounts, you still need to check your spending or else you might end up inviting a fees or other repercussions.
A close examination of the various features and services being offered by different banks will ensure that you make the right choice.
Prepaid Cards
Prepaid credit cards are a modern day convenience. They look just like debit and credit cards and are a great way to make purchases and withdraw cash. All you have to do is top up the cards with money and you are ready to use them. Their advantage is that they are not linked to any credit facility or bank account and you dont have to risk getting into debt. You use only the balance that is available to you and no more.
What You Get When You Use Prepaid Cards
Prepaid cards are convenient to use both online and offline. Since there are no credit checks when you buy one of these cards, even those individuals with poor credit history can take advantage of them. There are many travel money cards available that allow you to make withdrawals and purchases even when travelling abroad, thereby giving you a safe and convenient alternative to carrying cash. Interested people can find a number of specifically designed travel cards offering extremely competitive rates for overseas usages.
Another advantage of prepaid credit cards is that you can be issued multiple cards on a single prepaid account so that you can share your financial resources with family and friends.
However, many providers levy a number of charges on these cards that make them an expensive option. There might even be restrictions on ways to spend your card money.
When you compare money cards in the UK, you can familiarize yourself with various providers terms and conditions and then apply for the same. It always pays to do a bit of research before investing in something.