Prepaid debit cards may not be your first choice of payment, but there are times when they can be even more convenient than a standard debit card.
While bank account debit cards give you access to all your money, prepaid options mean you can put as much or as little on a card for any kind of expense.
As a result, prepaid cards can make great gifts or tools to help you manage your own finances – it’s all about how you want to use them.
There is a wide range of reasons people get prepaid cards, and here we take a look at the best times to use them to give you an idea of how you could put a prepaid card to use.
- Gifts – prepaid debit cards can make both practical and thoughtful gifts, with both general cards and brand-specific options available so that you can give people the means to buy exactly what they want.
- Travel – theft and fraud are greater risks for travellers and a prepaid card keeps foreign funds accessible and secure. Plus you have control over the balance of the card, increasing the chances of sticking to your budget.
- Shopping online – anyone who is worried about security online, for whatever reason, can find more peace of mind using a prepaid card instead of an everyday debit card.
- Sticking to a budget – if you find that you always overspend in stores then preloading a set amount of money on one of these cards could help reign in spontaneous spending and save even more for a rainy day.
- Personal finances lessons – people who want to teach their children about personal finances could use prepaid debit cards as a tool for budgeting. It also makes it easier to track what money is spent on when it comes to pocket money.
These days banks, newsagencies, grocery stores and even Australia Post sell different kinds of prepaid cards.
While prepaid debit cards are not essential banking tools for most people, they can be used in a variety of ways to make money more accessible and easier to manage.
By looking at different kinds of debit cards, like prepaid options, you will be able to find the best ways to get the most out of your money.