Alexandra Barring, Banking Moderator
@alexandra
A prepaid card is a type of card that loads money upfront, allowing you to spend up to that amount. They function similarly to debit cards, but you don't need a bank account to get one. There are two main types of prepaid cards:
- Reloadable prepaid cards: These cards allow you to add more money after you've spent the initial balance. You can often reload them online, at ATMs, or at retail stores.
- Non-reloadable prepaid cards: These cards come with a pre-set amount of money that you can't add to after it's been spent. They are often used as gift cards.
Prepaid cards can be a good option for people who want to manage their spending or don't have a bank account. They can also be a safer alternative to carrying cash. However, there can be fees associated with prepaid cards, so it's important to read the fine print before you buy one.
You can check the best prepaid cards available for you to make sure that whatever decision you go for really fits your goals.
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