Sometimes applications for any credit card are denied for various reasons. It may be since your credit history is blemished in some way producing a bad credit score. It could also be because you are just beginning real life a new college graduate without any credit history. But there\’s a way to obtain a card with poor or no credit.
Prepaid credit cards are the answer to developing a good solid credit score. Everybody qualifies for these cards because they are prepaid meaning you\’re not borrowing the cash for purchases. You can only spend the amount of money which has been uploaded to the card.
Today few individuals still pay with cash. In fact, it may be considered vital to possess a credit card for things such as airline and hotel reservations. Generally, if you are over 18 years old you can register for prepaid credit cards on the Internet in a matter of minutes. There isn\’t any fees or charges involved to register, but a Social Security Number is needed to verify your date of birth.
Other information that is required is your first and last name, age, gender, current email address, phone number, physical home address, city state and zip. Remember the SSN is required only for age verification. This post is required based on the Federal Law (USA Patriot Act) that needs financial institutions to record such information identification confirmation.
Prepaid credit cards function like a typical credit card except you have to deposit money in the account so that you can use it. It can be used anywhere a credit card is accepted, because it is supported by a major card companies. Money can be deposited to your account anytime, and can even be useful for Online shopping. However, they might be denied for a subscription service that needs a recurring payment each month.
Keep in mind that you are able to only spend the preloaded balance, so that is in essence the credit limit for your card. Your card enables you to pay bills or get money from an automated teller machine. There\’s no credit check for your prepaid card, but be sure to read all the stipulations and requirements for the account.
There are lots of potential benefits to prepaid credit cards, but the most significant is you will never go into debt regardless how many times the card is used. You may use the card as long as there\’s money loaded. Your card will be denied if you use all the cash that had been preloaded. While this might be briefly embarrassing, having no debt is much more valuable in the future.
Building a good credit score is a given with a prepaid card since there is not a way to go into debt. Plus there are no interest charges like you would be charged for any regular credit card. Furthermore, there are no personal bank details associated with the prepaid cards so they are popular to make use of on vacations or while traveling. Today\’s society seems to prefer credit cards, therefore the prepaid plastic is the way to go.
Lucas Stemmons is extremely experienced with prepaid credit card. He has been in the industry for over fifteen years. Using reloadable credit cards can provide you with information relating the best way to work specifically on your personal finances.