Prepaid Credit Cards: Better Then Traditional Credit Cards
Prepaid credit cards provide many benefits over traditional credit cards
. Here, we will discuss the difference between both of them. All banks and lenders have realized that it is very difficult for people to meet the necessity requirement of credit cards, either while applying or using. Companies are not able to make expected profit due to bad credit ratings. To solve this problem, companies introduced prepaid plastic money which could be used by anyone without need to have good ratings. This plastic money is easy to carry and convenient. Now days, it is not possible to carry the hard cash everywhere you go. You can not do anything in case someone robs you or your purse.
These credit cards are very much similar with other credit card except the money limit. This plastic card is directly connected with your saving account and companies allow you to use only the available balance of your saving account only. You can use it freely without any tension of debts or late payments. Banks deduct the amount from your saving account as you make a purchase from market. You can do online shopping through the card and cancel it on the spot in case of theft or fraudulent transaction.
Another benefit of prepaid credit cards is that they can be used and accepted globally. People can use them in any part of the world whether you are at a store in America or a museum in UK. It brings good advantage for parents, now they can keep track how much money is spent by their children. And children can not use the money more than the available balance in account. So, parents do not need to worry about the credit history of children.