Demand To Know Your Prepaid Debit Card Fees
Demand To Know Your Prepaid Debit Card Fees: it's your Right
Long are the days when prepaid debit companies charged and fined their customers arbitrarily without prior notice or warning. According to a new set of rules by the Consumer Financial Protection Bureau (CFPB), prepaid debit card holders have a right to be notified of all fines and charges due and subjective to their cards before they are incurred or deducted. These rules will hopefully bring an end to these companies traditional impunity by installing checks and balances to their operations. Additionally, these laws seek to open up the prepaid card market and present consumers with information that helps them make the right prepaid card decision. But what are the other elements of this disclosure rule?
Know Before You Owe policy
How did decide to subscribe to the prepaid debit card you are currently using? Ask several individuals in America and this question, and you will be surprised by their answers. Most prepaid card holders today settled on the card they are currently using as a result of a friends influence or following the media buzz at the time. Without properly researching on the various costs associated with the cards, they settled on one or another and hence the numerous complaints steaming into the CFPB every other day. But you know better now. When making your next prepaid card application, here are a few factors you should put into consideration.
Is it a free card or a one-off purchase?
This is the most distinctive feature of any prepaid debit card. First, check the subscription costs associated with your preferred card. For instance, is the card is freely awarded by a debit card company or departmental store? Also find out if it carries any monthly charges in the form of maintenance or service fees. On the other hand, though most purchased cards don’t carry monthly charges, it is still important to confirm the same.
In some instances, the debit card providers purport to have issued the card at a discounted rate and, therefore, charge minimal monthly charges. However, regardless of how insignificant the amount may seem, always demand an explanation. Nonetheless, the know before you owe rule demands that the company provides potential customers with this information beforehand.
Other costs associated with the card
Apart from the subscription costs, the debit card providers are required to inform prospective card holders of any other expenses related to the card. For instance, some cards charge special rates for different card operation such ATM withdrawals, top-up or balance inquiries. The new rules consider these costs material, and potential customers should be made aware of such costs before they incur them.
According to CFPB, these rules and disclosure will go a long way in helping prepaid card users in determining the card that best suits their needs. Additionally, the transparency in disclosures will prohibit the addition of extra card charges by the debit card manufacturers without the card holders consent. On the same breadth, any amendments to the existing rates and charges should be aptly communicated to the card holders before their activation to enable them to make wise decisions.
Prepaid Debit Card Finest Way To Carry Own Cash
Prepaid debit card is the best way to carry purchasing power, without carrying cash with you and considering now there are prepaid cards with no application fees to pay makes it free to get a card.
In today’s times when even going out is so unsafe, do you get fear to carry big amount of money? If your answer is yes, there is a solution available that can make you tension free especially when several prepaid card providers now offer free prepaid cards on sale with no application fee to get one.
A prepaid debit card gives its users the capacity to buy products as well as services with the card but with a vital difference, you are restricted to spend only the amount, which is preloaded upon the card. This ensures that you are never going to face the problem of running into debts as it does not entertain overdraft and credit facility. This is basically a user-friendly card that can be accessed at any place and in any country.
Money can be easily uploaded on the prepaid card through payment in cash at bank, pay zone, post office, bank transfer, and terminals of pay point and even through another credit card.
Prepaid debit cards are becoming a safest way of paying the bills, shopping online, purchasing essential commodities, withdrawing money from ATM and reserving airline and railways tickets.
Following are listed some of the benefits of prepaid debit card that a holder can enjoy:
- Prepaid card providers now offer free prepaid cards on sale with no application fee to get one
- Anyone can become the holder of a prepaid debit card as money is paid in advance.
- If some fraud is suspected while carrying out the online transactions, one can easily get the money reimbursed into the account.
- It is very convenient and safe to carry a plastic card than carrying lots of notes of money at any place.
- The transactions carried out can be conveniently monitored which leaves no scope for fraud. Also, this helps to bring efficiency in maintaining the records of expenses that have been incurred as step by step detail of account is available with the user.
- There is literally no risk in getting trapped in the net of debts as the user is allowed to spend only the balance that is preloaded in the card. This leaves no room for incurring debts.
- One can undertake convenient and hassle free visit to any place and country; as one need not carry large amounts of cash but logos to match the code of different countries you are traveling.
- There are top-ups absolutely free upon prepaid cards, which are simply a bonus for the customer.
- For getting a debit card, one does not need any bank account. Also, no credit checks are done and thus, it is very easy to acquire a prepaid debit card and, that too without any hassles.
- The financial companies providing the services of debit card gives its users great security for the internal usage.
- There are no hidden costs attached which keeps the process transparent.
In today’s hi-tech world, when things are easily done through internet, acquiring debit card falls in the same category of getting things assessed through the vast network of internet.
The financial companies ensure the customers that the prepaid debit cards are accepted worldwide. This makes the process of purchasing unlimited up to the extent of balance available in the debit card and considering there are free prepaid card now on sale which are offering free prepaid credit cards with no application fee to get one.