Limitations Of Prepaid Debit Cards
Recent horror stories: Several prepaid cards have been affected by technological outages that lasted days or weeks. When RushCards parent company switched its payment processor to Mastercard in 2015, a technological glitch locked tens of thousands of users out of their RushCard accounts for days. The Walmart MoneyCard experienced an outage in 2016. Netspend settled with a federal regulator over claims that customers were blocked from accessing their accounts, providing refunds to those who were eligible.
No effect on credit: Because prepaid debit cards arent credit cards, you cant build credit with them. For that, youd want to consider a secured credit card.
Lack of bank services: Prepaid cards also dont automatically have all the features youd expect with a checking account, including access to an ATM or branch network, online or mobile banking, or bank services such as wire transfers and the ability to stop payments.
If you want a checking account without monthly fees, consider our list of best free checking accounts. There are also second chance checking accounts for people with bad credit or banking histories.
Whether used as a budgeting tool or as an alternative way to bank, prepaid debit cards can help you store and spend money productively.
Can You Use A Visa Gift Card At An Atm
Visa gift cards cannot generally be used at an ATM as they do not come with a PIN. That is, ATMs only allow you to withdraw cash if you have a PIN for security reasons. This means that any card that doesnt come with this will not be able to finish the transaction.
There are, of course, other ways to get cash from your Visa gift card, as youve probably seen from all the other options in this article. That said, most of them require a couple of extra steps to get to that point.
While theyre all pretty simple, unfortunately none of them are quite as straight forward as simply withdrawing the balance in cash from an ATM. Dont consider that as too much of a hurdle though, as those extra steps needed to access that cash really arent that difficult to do.
How Long Will It Take For The Money To Be Transferred To My Bank Account
How long the transaction takes depends on your bank. Some transfers can be completed within a few hours or on the same business day.
For most banks though, it usually takes a few business days before you see the money in your account.
For example, if you have a Bank of America prepaid card and you are doing a transfer to your bank account for the first time, this could take up to 7 business days.
This is because you must create a new transfer-to account online, which can take up to 5 business days to authenticate.
After that, it can take another 2 business days to receive the money in your account.
If you use the MoneyGram method though, the money will arrive in your account within the same day. Even new accounts take less than a day to be verified.
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Terms And Condition Of A Visa Gift Card For Successful Transfer To Bank Account
Expiration date It is important you make sure that your gift card is not expired. Check your card to know when it expires or else transferring money would be impossible
Not Transferrable It is true that there are some cards that are non transferrable. It isnt possible for others to use them. So make sure yours isnt one.
Dormant Card If your gift card havent been used for a long period then a fee may be attached to you for inactivity. Check this to avoid charges.
Adequate Funds Most Individuals end up spending more on charges and fees transferring money from the gift card to the bank account than the balance in the gift card. So to avoid losses, its better to make sure that there is more than enough money in your gift cards before you go ahead to transfer.
Why Would I Use A Prepaid Card
- Prepaid cards are a convenient way to pay for things if you are not carrying cash.
- You do not owe a bill since you are using money you already have.
- You do not need a bank account to use a prepaid card.
- You do not need a good credit history to use a prepaid card.
Learn more about your credit history.
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Get The Prepaid Card Account Number And Routing Number
The first step to the process is to get the account number and routing number for your prepaid debit card.
This is where most prepaid cardholders get stuck in the process because they cannot locate that information. If thats you, keep reading.
Every prepaid debit card has an issuing bank. Even though its a prepaid debit card, a financial institution issued that card.
Therefore, since the card was issued by a bank, there is an account number for each prepaid card and there is a routing number for the issuing bank.
To be able to set up the transfer from your bank to your prepaid card, you will first have to get your prepaid card account number and the routing number for the issuing bank.
Some prepaid cards easily provide this information to you and it can be located in your prepaid card account online.
However, some prepaid debit cards do not make this information easily available.
Sometimes, the account number that identifies your debit card can be different from the card number.
How To Transfer Money From My Netspend To A Bank Card
Netspend, is a registered agent of Axos Bank, MetaBank, The Bancorp Bank, and Republic Bank & Trust Company. You can use Netspend Visa Prepaid Card everywhere showing Visa Card Accepted here.
When you want to transfer money from Netspend to your bank card, you have to, first of all, allow the transfer of the funds to your bank, and then to your card. Netspend has both credit cards and debit cards. The advantage of Netspend cards is that you do not need to have a bank account. However, you can link one to your account if at all you have one.
Netspend headquarters are in Austin, Texas. It is a subsidiary of Total System Services Inc. it has over 70,000 distribution centers and over 100,000 reload centers. As a customer, you can purchase and reload your Netspend card and load it with cash. Moreover, Netspend allows employers to deposit paychecks on their employees cards for easy and efficient payments.
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How Can I Check The Balance On The Prepaid Card
You can check your balance and transaction history online at www.bankofamerica.com/commercialprepaidcard, at any Bank of America ATM or by calling Cardholder Services toll free at1.866.213.8564. Make sure you have the 16-digit Card account number ready and your Social Security Number and address for validation.
Prepaid Debit Cards Vs Checking Account
|Prepaid Debit Cards vs. Checking Account|
|Prepaid Debit Cards|
|Can be used most places cards are accepted||Can be used most places cards are accepted|
|Not tied to any bank account||Debit card tied to account|
|Can be acquired from many stores and companies||Must come from a financial institution|
Prepaid cards function similarly to a debit card that’s tied to a checking account, but there are some major differences to be aware of.
The main difference between a prepaid card and a bank debit card is that you don’t need a regular bank account to get and use a prepaid card. You can have a regular bank account and use a prepaid card on the side to manage some of your spending, or you can use prepaid cards exclusivelywithout any kind of bank account.
Since prepaid debit cards aren’t tied to a checking account, they’re also easier to acquire. You may be able to find one while you’re shopping for groceries or picking up some odds and ends for the house. Debit cards linked to a checking account, on the other hand, must be acquired from a financial institution that offers a checking account. That means there will be a much more rigorous application process compared to simply paying for a prepaid debit card at a store.
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Transfer Money By Check
Sometimes, a slightly slower, no-tech method of payment is all you need. If youâre paying yourself, you can simply write your own name next to âPay to the Order ofâ on your check and deposit it in your account. You may even be able to skip a trip to the bank by using the mobile deposit feature on your bankâs app or visiting a nearby ATM.
To pay others by check, put their full name or company name on the payee line. If youâre not sure about the payee, you can make a check payable to “Cash.” Just remember that anyone will be able to cash it, so keep it safe until youâre ready to hand it over.
If you donât have checks, your bank can usually print a cashierâs check or counter check for you on-demand. Cashierâs checks are guaranteed funds with payee information printed on them. Counter checks work like regular checks, drawing money from your checking account when they clear. Keep in mind, a bank might charge a fee for a cashier’s or counter check.
Knowing how to transfer money from one bank to another is a handy skill to have, especially when you have lots of options. Whether you need to send money to a bank account instantly or enjoy the simplicity of writing a check, you have choices.
Shopping Or Withdrawing Cash With Your Card
Once youve added funds to your card, you can spend that money or withdraw it in cash at ATMs. To buy something in person, just swipe or insert the card at the point of sale. If you’re shopping online, type in your card number. At an ATM, just insert your prepaid card like any other bank card, and withdraw cash. Be aware that you could be charged a fee for every purchase or ATM visit, though it depends on how the issuer has structured the card.
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Use A Third Party Service
Another way to cash out your card is to sign up for a third-party service. These separate companies allow you to shift the money you have in a prepaid card into a bank account of your choosing, or sell the card for a percentage of its value.
In fact, the best method to turn funds in a prepaid gift card into cash that you deposit into your checking or savings account is with a third-party service. Two of the most common companies that do this are:
How Do You Link A Prepaid Card To Paypal
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Can You Turn A Visa Gift Card Into Cash In Hand
There are ways to turn a Visa gift card into cash in hand, although these tend to be limited to those options when youre trading your card in in-person, such as when selling it to someone or converting a Gift Card Kiosk voucher into money.
However, having the money added to your PayPal or bank account is as close to cash in hand as you can get. Simply add the extra step of going to withdraw it and youre on your way.
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How To Add Money To A Netspend Card
Netspend customers can load the cards in a variety of ways. That includes direct deposit of their paychecks, Social Security payments, tax refunds, unemployment benefits, and other forms of government assistance. Netspend cardholders can also transfer funds from virtually any of their own checking or savings accounts directly to their Netspend debit card accounts.
This is easy to do online. The cardholder adds the Netspend account as an external account to which they authorize fund transfers. A cardholder can also transfer funds using the bank account’s debit card if it has either a Visa or Mastercard logo on it.
Netspend is not a checking or savings account, but a prepaid debit card that can be reloaded.
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Complete Your Bank Details
After clicking next, youll be taken to a page like in the screenshot above. Enter your Receivers details. This will be information like your name, address and account/debit card info.
Click Next. According to the MoneyGram website, many account deposits are completed within minutes, subject to banking hours and systems availability.
Can You Load A Prepaid Card With A Credit Card
You cannot load your prepaid card with a credit card directly. However, you can use your credit card to get money into your bank account and use it to recharge it to your prepaid card. You can use the cash advance checks that you obtained together with the credit card to load funds onto your card.
Using credit advance, you can load your prepaid card. However, the method is not suitable since it attracts high-interest rates. The good thing with prepaid cards is that you do not need to have a bank account to use them. Credit cards are mainly useful to people with poor credit records or lack bank account.
However, you cannot use more than the money inside the card. On the other hand, a credit card allows you to use as much as you can since you will repay later. However, there is a specific limit you cannot spend beyond a month.
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How To Make A Purchase At A Visa Debit Merchant Or Maestro Merchant:
- Present the Card to the cashier.
- Swipe the Card through the terminal reader. Push either debit or credit. When selecting credit, no PIN is necessary. Just sign the receipt when the cashier hands it to you and take a copy of the receipt for your records. If you select debit, you will be asked to enter your PIN. The terminal will then ask you if you want cash back. If you do, enter the amount and the cashier will dispense the cash to you. You will only be able to receive cash back if your sponsor selected this option and you have the available funds on the Card. Always check your balance prior to this type of transaction.
Adding Funds To Your Card
Some cards come with funds on them. You buy a card with a set value, and that’s how much money comes with the card. Others are designed to be loaded with funds as needed. If you can add funds, you may have several options for doing so, including:
- Setting up direct deposit to the card
- Bringing cash to a retail store that can add funds to your card
- Depositing a check with an app that is linked to your card
- Transferring money from your bank account to your prepaid card
Some cards may charge a fee every time you reload funds. If that’s the case with your card, plan your reloads carefully to minimize those fees.
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