The emergence of prepaid MasterCards and Prepaid Visa cards in Canada has created a new avenue to for many Canadians to obtain credit cards without worrying about bad credit, bad spending habits, credit checks, interest rates, high fees which comes when applying for the traditional credit card. Canada Prepaid Cards goal is to provide Canadians with information and access to prepaid credits cards available to use across Canada, online and world wide wherever MasterCard and Visa are accepted.
Prepaid credit cards look and feel like any other recognizable credit card with one exception, they are “pre-funded” – Stored value cards. Having a prepaid credit card requires you to load funds on your card, which then allows you to make regular purchases, as with a normal credit card and get cash from ATMs since you are not borrowing money from a bank or other financial institutions. If you tend to overspend or would like to control your spending then a pre-paid debit card or prepaid credit card could be a good card for you.
Many Canadians are excluded from the benefits of obtaining a credit card, however, now with the availability of prepaid credit cards, residence in Canada are now able capitalize of the benefits of owning a credit card – The convenience, services and safety that a credit card provides. Virtually anyone can purchase a prepaid credit card because prepaid credit cards do not require a credit check and age requirements are lowered. Pre-paid credit cards are generally used by people who want to limit their spending limit; parents who want to teach teens how to create a budget, manage money, and shop wisely; teenagers who don't have budgeting skills yet; people with damaged or no credit history; people who don't want to go over their budget.
Canadians who want to control their spending habits may find that prepaid credit cards are beneficial in achieving that tasked. Prepaid card are not regular credit cards, spending is limited to the amount of money that's loaded onto the card. You'll set your own spending limits based on how much money you load, and you'll decide where and when to shop. You'll be able to manage your account online or over the telephone and set your own budgeting and spending goals.
Parents in Canada can control the spending limits of their children by proving them with prepaid credit cards instead of their own credit cards which have much higher limits. Now you can teach your kids some lessons about spending and credit. The prepaid credit cards help you guide them toward responsible spending. Providing you kids with the tools and means to learn financial skills is essential. We live in an unusual world where kids are granted credit even before they have earnings to justify their ability to repay. College students are an obvious target, because marketers figure they'll go on to get good jobs or their parents will bail them out. By educating your children early on about effectively managing their expenses, you will teach them a priceless lesson, which will hopefully prevent them from making costly mistakes in the future. The prepaid credit card solves kids' needs for a way to carry their money safely and parents' needs to control where the teens do their spending. Parents reinforce responsible card usage by monitoring their teens' spending through the prepaid card's tracking tools. The prepaid credit card gives, teens real-life money management experience in a controlled, parent-supervised environment, making it an excellent first payment card and an ideal tool for teaching financial responsibility.
Canadians who have damaged or no credit history, prepaid credit cards are a smart choice. Simple everyday transactions such as reserving hotel rooms, car rentals are now possible with the use of pre-paid credit cards. If you have damaged or bad credit, you may already know that how difficult it is to get approved for a credit card. A prepaid credit card can give you convenience and security advantages over carrying cash. Now there are prepaid cards, which carry the MasterCard and Visa symbols and can be used in stores all over Canada. Prepaid cards can be a good alternative to secured credit cards. Prepaid credit cards do not require any credit history. There are no employment verifications or credit checks. A person can simply deposit money into an account with the issuing card company either through check payments, online transfers from your checking account, or at an approved merchant.
There are some key benefits which come with owning a prepaid MasterCard or prepaid Visa card. The spending independence, convenience, budgeting aspects, eliminating the need to carry large amounts of cash, security of not worrying about thieves making excessive charges on your credit card are some of the many benefits Canadians will obtain with purchase of a prepaid credit card.