Consumers have found that they can’t resist the allure of prepaid cards. With their tempting features and unbeatable benefits, these little wonders are hard to let go for good! Prepaid cards offer many things often seen in credit or debit cards but with one big difference: it’s easier than ever before getting your hands on them.
Unlike credit or debit cards, prepaid cards have a lot more benefits to offer than just safety. However, there are still certain things you need to keep in mind so that it can work to your advantage, like avoiding fraud and wasting money if not used correctly.
Prevalent Mistakes to Avoid When Using Your Prepaid Cards
In order to make the most out of your prepaid card, it’s important that you use them properly and follow these guidelines always. Below are some of the things you need to keep in mind when using your prepaid card:
Not reading the fine print.
Not reading the fine prints is a mistake many people make with their prepaid cards. You can find all of your card’s basic information in there, and it’ll be worth taking time to read through so that you know what will happen if any fees or charges are imposed on top of regular usage rates imposed by the law.
You should also familiarize yourself with the card’s user guidelines so you can use it accordingly. Checking out some reviews on your prepaid, whether online or through customer service would be a great idea to learn more about what they offer and how best fit for our needs.
Prepaid cards are a great way to keep from spending too much and incurring mounting debts. Each time your balance becomes insufficient, or if you ever deplete it completely-you won’t be able use that card anymore until such times when money is loaded onto them again with more funds for purchase.
Not keeping the PIN to yourself.
Some people take this a notch higher and write their PIN codes on the prepaid card itself or keep an extra copy of it hidden away in case they forget. While not doing so might seem like an obvious practice, many still do so with surprising frequency.
The best way to avoid getting hacked is by not writing your PIN on any paper where you also keep the cards. Ideally, pick a PIN that’s easy for you but hard enough other people can’t guess it easily.
Don’t use numbers representing birthdays because these are some of the easiest combinations in existence. The idea here is making sure we choose something so memorable yet utilize all four digits without repeating any digit sequences found elsewhere like 0000 or 1234.
Always loading the maximum amount.
A few people use prepaid cards to save money. This is a good way of saving because you can load the card with as much or little cash that you need, but there are some risks associated too especially if your card gets lost or stolen and these things could happen unnoticed for days until someone notices their missing.
In line with this, it is recommended that you first check your spending habits before loading any money onto a credit card. If used regularly for payments then loading all at once may be convenient and practical but if not then only enough should go in so as not to burden yourself too much financially.
If there are periods where expenses come up more sparingly than usual, say during vacations from work, consider using just enough money so as not to miss out when things get tight again later down the road.