The best prepaid debit cards offer many of the same features as checking accounts such as online bill pay, mobile check deposit, and direct deposit, but without the overdraft fees. They also don't charge reloading fees, are easy to use, and offer additional services such as sub-accounts and fraud protection. Prepaid cards are a type of debit card that function much like gift cards. You buy one, load a desired amount of funds onto the card and use the card to make purchases. Prepaid cards can be helpful if you can't qualify for a traditional debit or credit card, are trying to maintain a strict budget or want to teach kids how to manage their money. However, it's important to note prepaid cards are not credit cards.
You're not getting a loan and so they won't help you establish credit. Below you'll find some top prepaid cards from our partners, followed by a full list of editor picks. Prepaid cards are a relatively simple way for you to pay for purchases without opening a credit card or bank account. They work similar to a debit card in that you can use a prepaid card to pay bills, set up direct deposit and use mobile check deposit. You'll even receive the same $250,000 FDIC insurance that protects your deposits if your bank fails.
All of the best prepaid debit cards that made our list have different things to offer. You don't need a bank account to get a prepaid debit card, but it's a requirement for a regular debit card, which is linked to your checking account. For prepaid debit cards, you load the card with money when you get it, then use it to make purchases.
For regular debit cards, the funds for your payments are taken directly from your checking account as you make payments. There are many convenient ways to load funds onto your Visa Prepaid card. The best option is to direct deposit all or some of your paycheck, government checks or even your tax refund directly to your Visa Prepaid card.
You may also be able to load cash at ATMs, bank branches, and retail locations, or add money from checks by using the mobile check deposit feature on your card issuer's mobile app. Check with your card issuer to confirm which of these features are offered. The Opt+® Visa® Prepaid Debit Card can be a great solution if you're looking for a daily payment alternative to cash. Prepaid debit cards work like traditional bank cards and debit cards. Simply open a prepaid debit card account, load the card, and begin using it for daily transactions - such as making online purchases or buying groceries. Similar to a gift card, you add value to the prepaid card before you can use it, which is essentially like prepaying for future purchases.
But prepaid cards come with a few more bells and whistles, like the ability to set up direct deposit and check your balance on a mobile app. They also require more attention since you can incur fees for simply having a card or reloading it with more cash. Keep in mind that while prepaid cards are an alternative to credit and debit, they won't help you build credit.
In order to establish a credit history, you need to regularly use a credit card responsibly, paying your bills on time and in full every month. And if you want an easy way to deposit and withdraw money for daily transactions, consider opening a checking account with a linked debit card so you can avoid ATM charges. Like money in a bank or credit union account, some reloadable debit cards carry either Federal Deposit Insurance Corporation or National Credit Union Administration insurance. The money you put on your card may be held in a pooled account at a financial institution, along with the money of many other cardholders.
If that financial institution fails, deposit insurance can step in so you don't lose any money. Reloadable debit card issuers are required to inform you about whether your money is insured before you buy their card. A debit card is issued by a bank and linked to a checking or savings account. Each time you use a debit card, you are transferring money electronically from your bank account to pay for your purchase, reducing your bank account balance. You can also use a debit card to withdraw cash from your account via an ATM.
Wells Fargo dominates the industry, with more than 50 other issuers competing in the market, according to the Nilson report. See account agreement for terms and conditions. When you direct deposit $500 or more in the previous monthly period, otherwise $7.95 per month. Direct deposit early availability depends on timing of payor's payment instructions and fraud prevention restrictions may apply.
As such, the availability or timing of early direct deposit may vary from pay period to pay period. $15 fee may apply for each purchase transaction not repaid withing 24 hours of authorization of first transaction that overdraws account. EIP Card recipients can make purchases online or in stores anywhere Visa® Debit Cards are accepted. They can get cash from domestic in-network ATMs, transfer funds to a personal bank account and obtain a replacement EIP Card if needed without incurring any fees.
They can also check their card balance online, through a mobile app or by phone without incurring fees. The EIP Card provides consumer protections including certain protections against fraud, loss and other errors. Federal benefit payments, such as Social Security, Supplemental Security Income and Veterans, are required to receive your payment electronically. You must either have the money deposited directly to a bank or credit union account or get your money each month on a DirectExpress® prepaid debit card. You can use the debit card to make purchases, pay bills or transfer funds to your personal bank account.
You'll also have free access to online banking to view transactions and you can sign up for alerts when your benefits have been loaded. We looked at 40 reloadable prepaid debit cards offered by some of the biggest banks, credit unions and prepaid debit card issuers. Where multiple card plans existed, only the basic monthly fee plan was considered. Chime isn't a prepaid debit card or a traditional bank account but a free "spending account" in the Visa payment network. This account has many of the same functions as a checking account, but it doesn't come with paper checks. Through the app, though, you can request that checks be mailed to a recipient, even yourself, for free.
Mobile-optimized banking accounts fit in this middle ground — like most prepaid debit cards, many have no credit check; unlike prepaid cards, many are linked to a bank account. A prepaid debit card is a card that already has funds on it, so the credit limit is the amount of money left on the card. You don't have to get approved for a certain limit like you would with a credit card. Instead, you load the amount that you want to be on the card, and that becomes your limit.
You can use a prepaid debit card online and at most retailers that accept a regular debit card. However, you usually can't rent a car with a prepaid debit card. When you use the card to purchase something, the purchase is immediately deducted from the balance.
A prepaid card uses your money to pay for purchases. You load the card with the amount you want, then use the card as you would use a credit card, presenting the card at the register. The difference is you don't pay interest fees because you are using your own money – you aren't borrowing. However, prepaid cards can have fees for signature purchase transaction fees, PIN purchase transaction fees and foreign transaction surcharges.
That said, prepaid cards can have features such as the ability to get text messages or email alerts with the Blue Netspend Visa Prepaid Card. With no credit check and no cost to order the card, the Control™ Prepaid Mastercard® is a solid option that gives cash back rewards on select qualifying purchases. This card allows you to manage your money through the Control™ Prepaid Mastercard®'s mobile app and with Control Card Direct Deposit, you can get paid faster than with a paper check. In addition, you won't be subject to late fees, interest charges or overdraft fees on card purchases. 3 Netspend does not charge for this service, but your wireless carrier may charge for messages or data.
The Netspend Visa Prepaid Card is issued by MetaBank®, National Association, Member FDIC, pursuant to a license from Visa U.S.A. Inc. Netspend is a registered agent of MetaBank, N.A. Card may be used everywhere Visa debit cards are accepted. Certain products and services may be licensed under U.S. Use of the Card Account is subject to activation, ID verification, and funds availability.
Transaction fees, terms, and conditions apply to the use and reloading of the Card Account. $15 fee may apply for each purchase transaction not repaid within 24 hours of authorization of first transaction that overdraws account. "IRS and Treasury urge eligible people who don't receive a direct deposit to watch their mail carefully during this period.
IRS and Treasury urge eligible people who don't receive a direct deposit to watch their mail carefully during this period. For taxpayers without an account to direct deposit an income tax refund, the Illinois Department of Revenue is offering a debit card option instead of a paper check. This card will help you avoid costly check-cashing fees.
The debit card option is being offered through an agreement with KeyBank and can be used anywhere Debit MasterCard is accepted. At airport locations, debit card deposits are only accepted at the time of rental if accompanied by a ticketed return travel itinerary. The name and address shown on the renter's driver's license must match their current home address. Active-duty military personnel are exempt from address requirements.
Other than the renter's spouse or domestic partner, no other additional drivers are allowed. At the time of rental, charges will be placed on the debit card which reduces the available funds in the account associated with the card used. Renter is responsible for any overdraft fees incurred. Disembarking passengers will be asked to provide a credit card or debit card with funds to cover the cost of the rental. Prepaid debit cards can't assist you in building credit like a secured credit card can. Compare offers for secured credit cards on Credit Karma to learn more about your options — some secured cards don't require credit checks or even bank accounts to apply.
Keep in mind, however, that they do require a security deposit, so you'll have to put money down to use this type of card. It is generally cheaper to get a debit card through your bank rather than getting a prepaid debit card. A prepaid debit card works best for a teenager or employee who you want to ensure stays within the card's limit. If one of those situations applies to you, it may be worth the fees. Additionally, if your credit isn't the best, or if you can't open a bank account for whatever reason, then a prepaid debit card is worth the cost.
Just know all of the associated costs before you get a prepaid debit card so you aren't surprised by monthly fees, reload fees, or any other costs along those lines. A reloadable debit card, also referred to as a prepaid debit card, is a card that you can use to make purchases. They are sold at grocery stores, pharmacies, convenience stores, and other retailers. The key difference between this type of debit card and ones that are issued with bank accounts is where the money comes from.
A prepaid card is a standalone financial product that you load with money, then it eventually runs out of money unless you reload more. A bank account's card is called a debit card – it operates in a similar way, but it is tied to the account's funds. Neither is a credit card, which basically provides short-term loans to the cardholder. This card features all of the benefits of other Netspend Prepaid cards like quick direct deposit payments , Payback Rewards on eligible purchases and access to the Netspend® Mobile App.
Cardholders can also earn Payback Rewards on eligible purchases and manage deposits and other account services using the Netspend® Mobile App on your phone. Frequently asked questions How does my SDCCU Cash Card work? Your SDCCU Cash Card is a Visa prepaid card.
Money available for spending is determined by the amount of money you load on the card. The SDCCU Cash Card carries the Visa logo, so you can use it almost anywhere Visa debit cards are accepted - in stores, online or over the phone. Each time you use your card, the purchase amount is automatically deducted from your card balance.
When your balance gets low, you can add more money onto the card. Text The Netspend Visa® Prepaid Card is issued by The Bancorp Bank, MetaBank®, National Association, and Republic Bank & Trust Company, pursuant to a license from Visa U.S.A. Inc. The Netspend Prepaid Mastercard® is issued by The Bancorp Bank, MetaBank, N.A., and Republic Bank & Trust Company pursuant to license by Mastercard International Incorporated. The Bancorp Bank, MetaBank, N.A., and Republic Bank & Trust Company; Members FDIC. Please see back of your Card for its issuing bank.
Netspend, a Global Payments Company, is a registered agent of The Bancorp Bank, MetaBank, N.A., and Republic Bank & Trust Company. The Netspend Visa Prepaid Card may be used everywhere Visa debit cards are accepted. The Netspend Prepaid Mastercard may be used everywhere Debit Mastercard is accepted. Use of the Card Account is subject to funds availability and ID verification. Transaction fees, terms and conditions apply to the use and reloading of the Card Account.
Most prepaid debit cards either charge you each month or each time you make a purchase, but the Movo Virtual Prepaid Card does neither. The exception is if you go more than three months without activity; then a $4.95 inactivity fee is charged per month until there's activity. A "virtual" element lets you buy things online, and you can request a physical card for in-person purchases, ATM withdrawals and cash back at retailers. There's no credit check, and they're often available even if you can't get a bank account because of a bad banking history. Unlike with a credit card, you load funds onto prepaid cards before use.
A prepaid debit card can serve as a budgeting tool or an all-out replacement for a bank account — and the best prepaid cards offer convenience while charging few fees. They function like any other prepaid debit card. So as long as the retailer accepts Visa, you can spend your EIP Card there. Recipients can also use their EIP Card to get cash by using an ATM or put the funds into a bank account for free. The Green Dot app is designed to help you manage any Green Dot account! Green Dot offers a family of debit cards that help address a range of needs—everyday money management, cash back or paying bills.
