A guide to prepaid cards by MasterCard

Choosing a prepaid card

There are many types of prepaid card for you to choose from. Look at the features of each card and consider those which are important to you, such as on-line account management, the ways in which you can reload the card, and the availability of additional cards on the same account. It makes sense to choose a card that has low fees and charges for the way in which you want to use the card most.

For example, if you just want to use a prepaid card for travelling abroad, a card that has low foreign exchange fees and overseas charges is likely to be the most appropriate. Shop around to find the card that has the best deal for you, then compare the features and benefits on offer.

Ideal solutions

A prepaid card is an ideal solution for you if you:

- want to give someone a gift - a MasterCard or Maestro prepaid card is more widely accepted than vouchers or store gift cards.

- are travelling abroad and don’t want to carry cash or traveller’s cheques. A prepaid card is more secure because it can be blocked if it’s lost or stolen.

- want to help younger family members learn about managing their money. They can only spend as much money as is loaded onto the card, and the spending can be viewed on-line.

- want to manage your money by separating it into different places for different purposes. You could have one card for everyday shopping, one for travel, one for on-line purchases, etc.

- are having difficulty opening a bank account or getting a credit or debit card for some reason. You don’t need to pass a credit check to get a prepaid card.

Things that a prepaid card may be used for

- Everyday shopping
- Internet shopping
- Mail order and telephone order
- Topping up your mobile phone
- Paying bills
- Paying monthly subscriptions
- Withdrawing cash from ATMs

Benefits for cardholders

Convenience
- Prepaid cards can be used wherever MasterCard and/or Maestro are accepted

- Anyone can get one – no need for credit checks or a credit history

Money management
- Can help you budget your money
- No interest charges on the card
- There’s no danger of going overdrawn on the card. Once the money
loaded onto the card has been spent, you can’t spend any more until you’ve reloaded it

Security
- Carrying a prepaid card is safer than carrying cash. The card can be blocked if it’s lost or stolen