Contributing author Mark Aucamp has been providing Talk Money Blog with regular Money Saving Expert advice and comments. Mark has extensive experience in providing Debt Management, Quick Mortgage Advice and solutions. Find out how to clear your credit card debts legally!
Britain struggles under the weight of historic debt caused in part by the banks irresponsible lending policies and the public’s belief that they could control their high mortgage costs, credit card debts and loan repayments. Credit card providers in the past have issued new credit card agreements to anyone and everyone without conducting proper financial checks to see that they could afford a new credit card. It’s little wonder that as a nation we are burdened with credit card debt.
Debt experts like the new prepaid cards as they offer the convenience of a credit card without the borrowing and you can only spend the money that you have transferred to the prepaid account. This is great for controlling your spending.
They can be used in the same way as a mobile phone top-up card. You cannot borrow any more money then you have transferred into your account. It’s impossible to go overdrawn which means you should never find yourself in a financial mess. MasterCard, Visa and Maestro all offer prepaid cards which are accepted by retailers and banks around the world. You can use prepaid cards online to buy goods and services.
The main benefits of using a prepaid card is the convenience of use, they are safe and secure and they offer you control over your spending. You can use a prepaid card at most cash machine but some cash machines will charge a handling fee up to £2.50. It is possible for anyone to have a card from a child to a pensioner. They are available for anyone with a bad credit rating who is unable to have a normal credit card or a bank account.
Prepaid credit cards can be cancelled or blocked if stolen or lost by simply notifying the provider immediately. It cannot be used with out a PIN number and signature. If stolen the most that could be stolen from your account is the amount remaining on the account at the time of theft. The thief cannot run up a huge debt on your account. Unlike credit and debit cards you don’t have the same protection provided against fraud.
Be aware that some prepaid cards are free whilst others can cost £5 to £10 to purchase and the provider will charge a fee of 2% to 3% each time you transfer money to your account. Beware some providers charge a monthly fee for having a card and phone calls to their customer services may be expensive. They do not pay interest for money that is on the cards.
Whilst these cards can be expensive they can provide you the convenience of knowing that you have access to some funds for an emergency and for backup.
- Related Videos
- Related Articles
- Ask / Related Q&A
- Money Saving Tips With Internet Online Shopping
- Household Money Saving Tips
- Money Saving Tips Made Easy - How to Save Money Every Month of the Year
- Everyday Money Saving Tips you Could Practice
- Some Money Saving Tips
- 15 Money Saving Tips For Families
- Money Saving Tips: Knowing Where To Begin
- Three Money Saving Tips
Establishing Credit After Bankruptcy
By: Robin Larson | 23/11/2009Rebuilding your credit after bankruptcy challenging, but it’s not impossible. There are things you can do to make your situation better, but understand that there is no easy fix and it will involve planning and patience on your part to put you back on your feet.
Establishing Credit After Bankruptcy
By: Robin Larson | 23/11/2009Rebuilding your credit after bankruptcy challenging, but it’s not impossible. There are things you can do to make your situation better, but understand that there is no easy fix and it will involve planning and patience on your part to put you back on your feet.
The Government Grant Application; Why You Need the Right One
By: Wendell and Charmayne Vannatter | 22/11/2009The proper government grant application is extremely vital if you wish to succeed in receiving your government grant. Many people will fail to secure the grants that they have applied for, even ones they may have qualified for, because they do not understand the government grant application process.
Small Business Government Grant; Is It Right for You?
By: Wendell and Charmayne Vannatter | 22/11/2009Small business government grant money is readily available today. The Obama administration is seeking to give millions of dollars away in grant money.
Government Student Grants; What’s Available, and How to Apply
By: Wendell and Charmayne Vannatter | 22/11/2009Government student grants are available for most U.S. students and can go a long way towards paying for your education. Government student grants are considered the building block on which all other sources of student financial aid are applied.
Government Small Business Grant: What’s Available and How To Get One
By: Wendell and Charmayne Vannatter | 22/11/2009A government small business grant is more easily available than other forms of loans.
Government Home Grants: Who Qualifies and How
By: Wendell and Charmayne Vannatter | 22/11/2009Government home grants are often thought of as low-income housing programs, but there are many real estate grant programs for individuals and investors of all income levels and credit scores.
Government Grants To Start a Business
By: Wendell and Charmayne Vannatter | 22/11/2009Government grants to start a business are funded from your tax dollars and are distributed to individuals, organizations and local governments to stimulate the economy, create jobs, support other government programs, and increase the tax base.
The Sub-Prime Mortgage Market is Broken - Mortgage Advice
By: Mark Aucamp | 02/06/2009 | FinanceMortgage resuscitation required urgently! The UK housing market will not recover until the mortgage market is fixed and expert advice at the Bank of England says, print more money in the hope of saving our economy from a long and drawn out recession is the answer. The Council of Mortgage Lenders...
Number of Mortgage Products Available Rises - Mortgage Advice
By: Mark Aucamp | 02/06/2009 | FinanceThe situation as I see it! Money seems to be in short supply; interest rates offered by banks for saving money remains diabolical; unemployment is expected to increase by quarter of a million as students leave university and college and members of Parliament from all sides of the political spectrum have...
How to claim Mortgage Rescue Scheme, Support Mortgage Interest and Homeowner Mortgage Support
By: Mark Aucamp | 29/05/2009 | MortgageThe government has recently promoted three new schemes to help struggling homeowners that have insufficient money in savings accounts to help support their mortgage repayments when faced with a loss of finance. The schemes are aimed at homeowners that may be unable to keep up their mortgage payments for one reason or another. It maybe that one partner or the other has lost their job and as a result of the downturn in the economy and they have seen their income plummet. Read More...
Are you a debt diva?
By: Mark Aucamp | 25/05/2009 | Personal FinanceA recent survey by Cosmopolitan found that 64 per cent of its readers were in debt, with more than half of these owing upwards of £5,000 on credit or store cards. This new generation of debt divas thinks nothing of splurging on designer labels even when they know they’re spending more than they earn. As a result, the Consumer Credit Counselling Service says that the proportion of young women asking for help with debt has doubled in the past ten years.
Are you a debt diva or a frugalista?
By: Mark Aucamp | 25/05/2009 | Personal FinanceA recent survey by Cosmopolitan found that 64 per cent of readers were in debt, with more than half owing upwards of £5,000 on credit or store cards. This new generation of debt divas thinks nothing of splurging on designer labels even when they know they’re spending more than they earn. As a result, the Consumer Credit Counselling Service says that the proportion of young women asking for help with debt has doubled in the past ten years.
Facts about Prepaid Credit Cards – Credit Card Advice
By: Mark Aucamp | 25/05/2009 | Personal FinanceDebt experts like the new prepaid cards as they offer the convenience of a credit card without the borrowing and you can only spend the money that you have transferred to the prepaid account. This is great for controlling your spending. Read More...
Lloyds Banking Group launches new Mortgage Scheme for First-time buyers – Mortgage Advice
By: Mark Aucamp | 25/05/2009 | Personal FinanceNow is a good time for first-time buyers to buy their first home. It is a ‘buyers market’ and buyers can negotiate some great deals with sellers that are eager to sell. Property prices now stand at 2004 prices which make them excellent value and the fall in house prices is possibly nearing the bottom. The best time to buy a home is when the market is nearing the bottom of a falling market before house price stabilise and then start to rise which they will do one day in the near future.
Guide to the Government Car and Van Scrappage Scheme – Money Saving Advice
By: Mark Aucamp | 25/05/2009 | Personal FinanceThe experts have a difference of opinion when it comes to saving money by trading in your old banger for a new car just because you can get an extra £2,000 off a new car. The main reason for this government incentive is to increase car sales and to boost the economic situation in the UK. The car industry has been hit badly by the downturn in the economy.