Post by Jackie, 3 July 09 @ 10:08 pm
Although prepaid cash cards look like credit cards, they are not alike. This because credit cards provide users with credit, meaning that users can swipe their credit cards now, but conduct payment later. Whereas prepaid cash cards provide users the ability to spend the money that is loaded onto the card only. However, just like a credit card, a prepaid card can also be used anywhere as long as MasterCard and Visa Card are accepted. Prepaid cards can also be used to make online purchases for internet shopping. There are various types of prepaid cash cards available in the market. The most commonly used ones are prepaid phone cards, prepaid debit cards, and prepaid smartcard. Another type of prepaid cash card that is not familiar to us is a prepaid gift card.
1. Prepaid Phone Card.
- This card represents talk time that users acquire in advance. For instance, if you purchase a prepaid phone card for RM 10, you can use up to RM10 of talk time depending on the call rates p
er minute to the destination that you make. People like to use prepaid phone cards because they don’t have to carry coins or notes around, and furthermore, calls can be made from payphones, mobile phones, and landlines. The cards are mostly used for overseas calls as the rate per-minute is cheaper as compared to other telecommunications provider. Besides that, prepaid phone cards can purchase from any grocery stores, phone shops, and even newsstands.
2. Prepaid Debit Card.
- This card is very frequently used all over the world because; it can be used to make international payments without the fuss of waiting for neither bank’s approval for clearance and only a minimal fees i
s charged for bank transfers. All one needs to do is to ensure the card is loaded with cash and transactions can be carried out. Alternatively, if there is insufficient cash on the card, the users need to reload their cards with money from their bank accounts. The purchase amount will then be directly deducted from amount loaded onto the card. This card is most practical for e commerce transactions.
3. Prepaid Smart Card.
- It uses Mifare contactless technology, which is an internationally recognized standard for contactless smartcard. In Malaysia, the Touch ‘n Go card uses this technology for payments made on highways, public transports, selected parking and theme parks. Each time a user touches their card on the electronic reader, the precise fee imposed will be deducted automatically. As you can see from the picture below, as of this moment, Touch ‘n Go cards can even be used at fast food outlets.
4. Prepaid Gift Card
- Instead of giving someone gift vouchers as a present, why not give them a prepaid gift card instead? MasterCard offers customers an easier gift solution as this gift card can be used at millions of stores located worldwide and the person receiving the card can spend a maximum of the amount that is on the card.
References:
http://www.mastercard.com/uk/personal/en/findacard/prepaidcard/prepaid_gift.html
http://www.mastercard.com/uk/personal/en/findacard/prepaidcard/about_prepaid.html
http://www.therichcom.com/phoneCardsguide.asp
http://www.touchngo.com.my/WhatTNG_card_TNG_1a.html
http://blog.saimatkong.com/index.php/2008/04/13/you-can-use-touch-%e2%80%99n-go-card-to-buy-burgers-by-next-saturday/
2 comments:
i heard credit card,debit card and smart card, but i never heard on the prepaid girt card o...
yea... it's not common to us locally.. but it is used in States... its like a gift voucher..
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