Each to their own I suppose but it still seems a bit weird to me. I never had a credit or store card before now I have a couple but use them to my advantage. points on shopping to use towards free stays at hilton hotels and vouchers for money off shopping at debenhams. I always pay off at the end of the month and have enough money in the bank if I were to loose my job - more chance of that happening now than ever with the current nhs crisis! The only debt I have ever incurred was a student loan but I paid that back within a year as I couldn't bear the though of lining someone else's pocket - so I transferred it to a 0% card.

I realise I am as guilty as anyone, but can we try to keep this on topic please, ie specifically about the prepaid Mastercard. Thanks!

luci

I came across this article yesterday in a publication called The Newspaper which is a paper for kids (sent to schools and elsewhere on subscription). They had an article about the pre-paid cards in there - saying that MasterCard had issued these cards for children. Available for over 13s only. The paper had asked various people for their comments. National Consumer Council weren't keen - saying although this helped young people to manage their money, the cost was high. Someone from APACS (organisation who looks after aspects of banking) said that the cards were safer than cash. See here for more information http://www.thenewspaper.org.uk/home/pg000583.php

I have just read that article. I have no idea to which prepaid card it makes reference to, but it is certainly NOT the one I have. I have NOT been charged for a PIN number, and I can load up to £5.000 on my card within any one top up transaction. I think this may well be the same Prepaid Card as mine, as they are a relatively new idea here in the UK but whoever wrote that article failed to do their homework properly.

The ONLY Fees Charged are the initial £9.95 for the actual Mastercard complete with Reload card. £4.95 per month to keep the card active, and a choice of charges depending on how you want to use your card. For example, if you want to pay a fee per each and every transaction,you do not have to pay the £4.95 monthly fee. And the card is NOT aimed specifically at children.

Apart from the £9.95 for each card, it will cost 85p to get money off the card at a cashpoint machine and £1 to get a personal identification number (PIN), a special number given to each user.
Without a PIN a card cannot be used, so it is important to keep the number secret at all times.

The costs of using one of these cards won't stop there! To top up with more money costs 85p for up to £20 and £4 for up to £200.
There is a limit of £1,000 on the amount each card can hold!

Absolute Rubbish!! Its completey FREE to load money onto your card. There are NO reload charges whatsoever.

Card facts

¦ Each new prepaid card will cost £ 9.95 - Correct

¦ It costs 85p to withdraw cash from the card - WRONG

¦ A PIN costs £1 - WRONG

¦ To put up to £20 on the card costs 85p- WRONG
¦ To put on up to £200 will cost £4 - WRONG

¦ You can't get a credit card if you're under 18 - Correct

Assuming of course that the article refers to the SAME Prepaid Mastercard as I have. Ans in as far as I am aware, there is only the one Prpaid Credit card available thus far, in the UK. But I stand corrected.

just to let anyone know about these cards and the differences.... american express card charges you £20 issue fee theres also a credit check with a credit reference agancy and also you have to give your details of your credit/debit card.... whereas mastercard takes no details from you ( you only need 2 items with your name and address to prove your identity) and its virtually free with NO credit check No bank account required and its chip and pin protected!!and with the cheque centre will be free as of next week!! All this to get and spend your own money abroad!!At the moment the master card prepay card is £9.95 issuing fee.

I have an Amex TC card and didn't have to pay an issue fee as this was waived by the travel agents I got it from. I didn't get a credit reference agency check and I paid for it by personal cheque therefore they didn't need my credit or debit card details.

luci

Basically, as I see it.....its a choice of pay a small one off fee for the issue of the card and then a moderate monthly subscription of a set amount and enjoy all the benefits thats a proper credit card has to offer when spending money abroad, without the worry of getting into debt, or apply for a tradional credit card and spend someone else's money ( its never YOUR money) while you are away and then find the money from somewhere to pay back what you have spent...... possibly incurring extorniate interest charges if you don't settle your debt all in one lump sum each month.

I prefer the first choice myself. I'm 45years old --- Oh my god, I've just realised its almost March 31st...I shall be 46 years old in just three short days time. Three days time And I don't want to spend the next few chapters of my life getting into debt.

With a Prepaid Card, the following is not possible.

http://uk.news.yahoo.com/01042006/344/116m-wasted-card-penalty-fees.html

Basically, as I see it.....its a choice of pay a small one off fee for the issue of the card and then a moderate monthly subscription of a set amount and enjoy all the benefits thats a proper credit card has to offer when spending money abroad, without the worry of getting into debt, or apply for a tradional credit card and spend someone else's money ( its never YOUR money) while you are away and then find the money from somewhere to pay back what you have spent...... possibly incurring extorniate interest charges if you don't settle your debt all in one lump sum each month.

Sorry but still cannot see why anyone should want to pay for having one of these cards.

I have a credit card. It is free. I use it and pay it off when it is due. No problem. I know how much I am spending. I do not spend more money because of my credit limit being so high.

If anyone is unable to control what they spend then they should not have a card. Paying for the privilege of spending your own money - giving someone your money to look after - free of charge - the bank will do that for you and pay you interest.

That is your personal choice. Not for me.

fwh

That is your personal choice. Not for me.

The same as spending other people's money is not for me.

the bank will do that for you and pay you interest.

But for those that do not settle their bill in full each month, then they pay the bank interest.

If anyone is unable to control what they spend then they should not have a card

I am more than able to control my own spending, but I would just prefer to spend my own money, and not someone else's. The idea of these cards is to offer the same benefits of a conventional credit card, but without the credit.

Don't want to get drawn into anything controversial here, but I agree with fwh and am a bit bemused by this topic...I too would not want to pay for the privilege of spending my own money.

My credit card doesn't cost me: I am careful how I use it. BHIC -you say this type of card offers the benefits of a "proper credit card" but I can't really see how, other than it means you cannot go over a set limit.

I think I'll stick with my "proper" credit card and continue to get the benefits of an interest free period and no charges. Sorry BHIC - don't mean to offend you, as you have made your views on the benefits as you perceive them fairly clear.

Can I ask where you would see the most benefit in using this type of card - is is specifically for abroad? Can you use it to purchase over the internet for example?

My credit card doesn't cost me: I am careful how I use it. BHIC -you say this type of card offers the benefits of a "proper credit card" but I can't really see how, other than it means you cannot go over a set limit.

Simple. I can use the card to make purchaes on line. I can use the card as security if I want to hire a car on holiday. I can use the card anywhere where the Mastercard/Visa symbol is displayed. I can make purchases in shops, on line, anywhere a conventional credit card is used, I can use my Prepaid card.

I don't have to carry large sums of cash around with me. Anything you can use your conventional credit card for, I can use my Prepaid Card for.

There really is no diffeence, except I am NOT running up a huge bill, and I am never going to be penalised with 'late payment' charges or have to opay extorniate interest charges.
Yes, I have to pay for the priviledge of spending my own money, but at .17pence per day, that is peanuts and its a price I am more than willing to pay for the priviledge of having and using a 'credit' card, but withoutr the worry of getting into debt by spending other people's money.

Ok, if you pay your Credit Card bill off all in one go each and every month, then clearly a prepaid card is not for you, but as you will see from the link I have sent in one of my previous replies a bit further back up this thread, very few peopke actually do that.

As mentioned previously by Luci, please can we get back on-topic (prepaid Mastercard)

Thanks.

Pippy

Can I ask where you would see the most benefit in using this type of card - is is specifically for abroad? Can you use it to purchase over the internet for example?

Yes, the Prepaid Master Card can indeed be used to make purchases On Line.
No, the Prepaid Master card is not "specifically" for use Overseas. You can use it anywhere you see the Mastercard symbol. Here in the UK, or anywhere in the World.

In as far as I am aware, the only place where you cannot yet use a Prepaid Mastercard is at Petrol Filling Service Stations where they offer the 'Pay At Pump' option. You cannot yet use a prepaid matercard to do this as yet, although the card will be accepted in the Kiosk as payment.

But, yes, Prepaid Mastercards can indeed be used to make purchases, and to buy services like Car & House Insurance etc On Line.

Can I ask where you would see the most benefit in using this type of card

The "benefits" as I see them are that I am not getting into debt. Thats about it really. I don't like owing money, even for a short a period as month. By using a Prepaid Card, I am using my own money. Its basically the same as signing up for a Contract Mobile and receiving a Bill, (which I would never ever use) or sticking with a Pay As You Go Mobile Service which I do use.

Sorry BHIC - don't mean to offend you

I'm not sure why you would think I am offended, you have certainly not offended me.

Thanks BHIC - thought this topic might have been getting a bit heated at times, and I didn't want to add to that. I hadn't heard of the prepaid card before so interested to see how it worked - thank you. I can appreciate why it works for some people, although it is obvioulsy not for all tastes.

I hadn't heard of the prepaid card before so interested to see how it worked -

The PrePaid Master Card is a relatively new idea in this country. Its my understanding that it is actually been introduced with the specific aim at helping young people to learn how to manage their money without getting themselves into debt at a young age. If they are aboe to manage their own money, then they will be able to manage credit. At least that is my understanding.

I agree, the Prepaid card may not suit everyone. It would be an extremely boring world if we all had the same tastes and expectations etc. I have only had my Prepaid card for just a little over six months, but it has already paid for itself, because I have been able to make purchases on line that I was unable to do before, with the added security of knowing that I have not got myself into any debt.

Yes, I could apply for a traddional Credit Card, and I am more than able to manage my own finances, its simply the fact that I do not like owing money to anyone. I pay all my Utility bills as soon as they arrive, and I now pay those bills On Line using my Prepaid MastrCard.

The only other two restrictions in as far as the prepaid Mastercard is concerned is that I can only 'load' a maximum of £5.000 onto any one card at any one time. But that does not effect me as I would never load more then £1.000 onto it at anyone time. £1k is more than adequate to cover my needs.
And the places where you can actually 'load' money onto your card are restricted to Post Offices and a few selected Garages at the moment.....but the Network is growing as the card becomes more popular.

The Prepaid Master Card suits my own personal circumstances and I am more than happy to pay .17p per day for its use.

hi all

when considering using Traveller's Cheque Cards be carefull as many places have not started using this process yet, i have had many tourists trying to use these whilst on holiday and many places still do not expect these especillity in East med areas.

lou

Hi BDHIC

Is the pre-paid Master Card not a similar kind of thing to a debit card which all banks will issue free of charge when you have an account with them

It's your own money you use on that as well, or have I missed something If I have then I appologise.

Rgds Jackie

Is the pre-paid Master Card not a similar kind of thing to a debit card which all banks will issue free of charge when you have an account with them

It's your own money you use on that as well, or have I missed something If I have then I appologise.

No, you have not missed anything. Yes, the Prepaid Mastercard works just like a Debit Card, which maybe one exception. Certain Debit Cards....Visa Electron for example are NOT accepted as payment for certain things. On Line purchases for example. You need a 'credit' card. And for say Car Hire. Most car Hire Companies insist on a Credit Card as 'security'. Debit Cards will NOT be accepted.

So, yes, although it is very similar in as much as you are spending your own money, it is different in as much as it is accepted where some debit cards are not.