The Federal Trade Commission has issued guidelines on the use of federal pre-paid credit cards to help prevent or counter fraudulent use and during the investigation of fraud. These guidelines are the result of the FTC’s investigation of the practices of certain companies that provide pre-paid credit cards.
What are pre-paid credit cards?
Prepaid credit cards are those that provide a one-time 0% interest rate on balance transfers, but the customer’s purchases actually get carried over without the card provider’s direct participation. For even a small payment, pre-paid credit cards provide a genuine option for avoiding detection by banks and credit card companies.
Applying for a pre-paid credit card online
The FTC’s investigation of such companies has produced the following guidelines for the selection of pre-paid credit cards.
If an applicant’s actual spending habits are not disputable, pre-paid credit cards are the best place to begin. Thus, avoid credit card companies that do not offer a 0% interest offer that includes transfer deals. Many companies that charge high interest fees offer this kind of credit card for their customers.
With pre-paid credit cards, the customer needs to make a deposit on their account. Normally, this deposit is subject to credit limits. A deposit of 5% or less is sufficient to cover the balance transfer transaction.
Using a pre-paid credit card will not be practical if every available payment is carried over from one month to the next. Therefore, if an applicant creates a situation in which a transfer does not make any sense for the individual, a prepaid credit card may be just what he or she needs.
Prepaid Credit Cards and Other Credit Protection Measures
One of the problems of our times is becoming almost numb to the fact that we are being ripped off due to our credit card having no safety net in place and is being used or subsidized by numerous lenders at the interest of the lender who has no intention of securing the debt in advance and without the user’s knowledge.
There is a very real threat of default for the borrower who is being foreclosed on thanks the use of the secured credit card. The primary problem is not the default figure but often there are no authorities to listen to the crooks of the entire credit industry.
The key is the use of a number of different prepaid credit cards at the same time and make sure that the person is actually able to pay off the debt that they are given under a pre-negotiated plan.
There are a number of different prepaid credit cards that can provide the pre-paid debt with the ability to be used in any country including the United States, if the user has enough money at hand. Some of the popular prepaid credit cards include Hilton HHonors Visa or American Express’
What You Should Know About Prepaid Credit Cards
Your pre-paid credit card should be monitored with a little help of a senior citizen. The use of a prepaid credit card and the avoidance of payments owes more than it belongs. This even goes to the case of the people who were ripped off due to their credit cards being misused for many years.
The prepaid credit card will offer you the opportunity to improve your credit situation even if on the day of the transaction you don’t make any payments. It should be noted especially that the prepaid credit card should not be used only for the day to repay the loans you are being foreclosed upon. You should consider all the consequences if you are late on a loan.
Prepaid Credit Cards: Your Conundrums and Applying For No Credit
If the cards you’re applying for are prepaid or unsecured the whole concept sounds a little hollow but in that there it is and not too many people choosing to simply fill out their credit card application and go to super bank and apply for a card that has prepaid or unsecured features. As this article is written it will probably be easier and quicker for you to apply and fill out your credit cards applying online. Before you apply for a card through the internet fill out your own personal information such as name, address and phone number to go through the processing of your application. There’s information on their website and there’s information on the instant response service too.
The good news is this site doesn’t place the obligation on you to cancel your application any sooner you should know that you don’t have signed negotiable papers yet you don’t understand that new security measures are being applied to you such as increased security checks as well as additional computer software to protect yourself from the types of things a lot of people will apply for as their pre-approved card.