Prepaid Debit Card Reviews, Complaints, Etc

Author: Tameka Riley

  • Debit Cards: A Growing Threat to the Banking Industry

    Debit Cards: A Growing Threat to the Banking Industry

    With ease of use and widespread availability, debit cards are becoming a growing threat to the banking industry.  Last year, prepaid debit card usage was up 18% while checking account usage plummeted from 92% to 88%.  While users avoid overdraft fees, debit cards are not cheaper than checking accounts.

    Incidentally, scores of users walked away from banks and the fees associated with them, lured by big named celebrity endorsers only to wind up paying even more money.  John Ulzheimer, President of Consumer Education at SmartCredit.com, warns against being tricked into thinking there aren’t any free alternatives.  “Debit card users are lazy,” says Ulzheimer.  “Free checking isn’t gone.  With just a cursory amount of shopping around, you can find a debit card that’s not only free, but will also give you an unsecured line of credit.”

    Gerri Willis of Fox Business Network’s The Willis Report fears,  “People are being robbed blind simply because they like the branding and ease of use that comes with the debit card.”  Over $82 billion was uploaded onto debit cards last year alone.  “Debit cards don’t help your credit score, there are no savings involved, and the users don’t have the opportunity to establish a relationship with a bank,” she says.  “You need access to what the banks have to offer to purchase homes, do business, and even education for your children,” said Ulzheimer.

    Today, many neighborhood stores and markets offer free “cash back with purchase” options at checkout, helping alleviate some of the hits most users take to their wallets, but in the long run, a little research can go a long way.  For more research on the best options for you, visit our in-depth reviews here on bestprepaiddebitcards.com.

    For more information from The Willis Report, visit:  http://video.foxbusiness.com/v/997395602001/millions-turning-to-prepaid-debit-cards?intcmp=related

    or visit :  http://video.foxbusiness.com/v/1559371429001/are-prepaid-debit-cards-mistake?intcmp=related

    For more from this author visit:  Tameka Riley’s Author Page

  • Experian Reporting Rental Payments on Credit Reports

    Experian Reporting Rental Payments on Credit Reports

    In times past, the only time rental history would show up on a credit report was when a property management company would turn it over for collections.  But in December 2010, that all changed when Experian became the first credit bureau reporting rental payments on consumer credit reports.  Not only is this is great news for the millions of displaced homeowners looking to get back into the housing market, but it also gives consumers the ability to benefit from meeting their monthly obligations on time, instead of penalizing the ones that don’t.  This opens up a world of possibilities for millions of consumers seeking to improve their credit rating.

    It turns out, renters aren’t throwing their money away after all.  Making up a large percentage of the population, renters will now have access to the credit products they deserve by meeting their monthly obligations, not just the ones they take out loans for.  The change will have a positive affect for millions of renters including immigrants, students and displaced homeowners.

    Experian collects data electronically from a property management network, rewarding responsible renters and reducing the risks of skips, bad checks, evictions and property damage for landlords and property managers nationwide.

    It is unknown if TransUnion or Equifax will follow suit and begin offering rental payments on their reports, but a recent on eHow.com suggests having rental payments added to all three credit reports is as simple asking your landlord or property management company to report them.

    For more information on Rent Bureau by Experian, visit http://www.experian.com/rentbureau/rental-payment.html.

    For more from this author visit:  Tameka Riley’s Author Page

  • SpendSmart Names Justin Bieber as Brand Ambassador

    SpendSmart Names Justin Bieber as Brand Ambassador

    Bieber Promotes Debit Card via Videos, Social Media

    Would Justin Beiber’s ebdorsement make you want a branded prepaid debit card?  SpendSmart Payments is hoping so.  Its new card features Bieber, its brand ambassador, in a video series called “Real Talk,” that is aimed at helping teens and families develop responsible spending habits.  In the first video, Bieber talks about his upbringing and how he learned to make a budget and save for things he wanted.

    Critics say the card may not be a good deal for young consumers, saying there are better and less expensive ways to educate teens.  Fox News says parents may want to think twice before giving their teen the card.

    The fees associated with the card include:

    • Monthly fee: $3.95
    • Loading charge: One free deposit per month from savings or checking account, $0.75; $2.95 from a credit or debit card
    • ATM charge: $1.50 per withdrawal plus any third party fees; $0.50 per balance inquiry (though balance inquiries online are free)
    • Inactivity fee: $3 if the card is not used for 90 days
    • Replacement fee: $7.95 if the card is lost

    In its brief history, SpendSmart has worked with a couple of different celebrities and has yet to report a profitable quarter since it went public in 2008.  The San Diego-based company won’t comment on the specifics of its deal with Bieber, but sources say it includes a $3.75 million endorsement deal and the option to buy 2 million shares.

    Celebrity endorsements don’t guarantee success.  The Usher Prepaid MasterCard and the Kardashian Kard are proof of that.  SpendSmart’s strategy includes appealing to Bieber’s vast social media following, which includes 37.7 million Twitter followers, 2 million subscribers to his YouTube channel and more than 52 million Facebook fans.  With a following this big, Bieber has a wider reach than some television networks.

    For more from this author visit:  Tameka Riley’s Author Page

  • Dave Ramsey Chimes In On The Rise of the Prepaid Debit Card

    Dave Ramsey Chimes In On The Rise of the Prepaid Debit Card

    One would only need to turn on their television to know that prepaid debit cards are on the rise.  Added to the mix is a growing crop of celebrities endorsing one card or the other.  Prepaid Debit cards are popping up everywhere with uses ranging from tax returns to IRAs, but so are the fees associated with them.

    According to a recent article by Dave Ramsey, depending on your card of choice, you might be charged for any of the following:  buying the card, monthly maintenance, uploading money, inactivity, ATM withdrawal, card decline, making a purchase in-store or online, speaking with a customer service representative, and even using the automated customer service system.  Some cards even charge you $.50 just for checking your balance.  While most acknowledge at least seven different fees, some cards have as many as fifteen regular fees at nearly $3 a pop, these charges add up fast.

    Users are expected to load over $200 billion dollars onto prepaid debit cards this year alone.  Originally targeting people without bank accounts, Ramsey believes most cards are taking advantage of the poor and financially struggling, much like “their destructive cousin, the payday loan.”

    There is simply no substitute for budgeting and smart money management.  Whether it’s a checking account or a prepaid debit card, it pays to shop around.  Here at www.BestPrepaidDebitCards.com, we take all the guesswork out of the process to help you get the best deals available to you.

    Dave Ramsey is the founder of The Lampo Group.  He specializes in counseling families hurting from the results of financial stress and teaches how recognizing money myths and replacing them with truth is a powerful way to take hold of your greatest wealth-building tool:  your income.

    For more from Dave Ramsey, visit http://www.daveramsey.com/blog/pre-paid-debit-card-uprising?et_cid=2450840&et_rid=0&linkid=.

    For more from this author visit:  Tameka Riley’s Author Page

  • New BlueBird Prepaid Debit Card Now Offering Checks

    New BlueBird Prepaid Debit Card Now Offering Checks

    Since American Express launched the BlueBird Prepaid Debit Card, it has offered a fabulous product for the unbanked.  Starting out as a prepaid American Express debit card, it serves many of the same functions of an online checking account.  Working in concert with WalMart, users can load deposits free of charge, make ATM withdrawals, use online billpay, track spending and set limits, all without the extra fees banks often charge.

    Adding even more benefits to their product, BlueBirds now offer its users the ability to order physical checks right from their online account.  Though the website shows fees associated with ordering physical check, checks are actually free until May 21st.  Shipping is also free.  With this new move, American Express has effectively turned 4,000 WalMart stores into bank literal branches.

    In some ways, the BlueBird is actually better than a traditional checking account without the extra fees piled on since the passage of Dodd Frank Financial Reform Bill.  According to American Banker, “American Express (AXP) has just given its checking account alternative, BlueBird, more bank-like checking account features.  It has added FDIC insurance, increased the amount of money a customer can place in an account and added physical checkbooks.  The New York credit card company said Bluebird customers who can already deposit checks by snapping a picture from their smartphones, electronically pays billers and send cash to friends, can now place up to $100,000 in an account at any one time.”  Funds received from BlueBird are moved to Wells Fargo within 24hrs, allowing the funds to be protected via FDIC insurance coverage.

    For more information on the American Express BlueBird Prepaid Debit Card, visit www.bluebird.com.

    For more from this author visit:  Tameka Riley’s Author Page

  • Approved Card From Suze Orman

    Approved Card From Suze Orman

    If you find yourself among the unbanked or under-banked a prepaid debit card may be the checking account alternative you are looking for. Suze Orman has recently launched her Approved Card – a prepaid debit card that is supposed to be better than the competition. But is it really? Does it have low or no fees?

    Suze Orman says about the Approved Card, “It’s the single most important thing I’ve done in my whole career.”

    She says it’s a better way to bank.

    It is safer than cash, comes with no credit checks, no check cashing fees, no bank account required, no overdraft fees, no interest charges and it is easy to load and use.

    The Appoved Card (http://www.theapprovedcard.com) also comes with free identity theft protection, free Transunion credit reports, credit scores and credit monitoring. These features are not seen on many of the best prepaid debit cards. You can expect to see services like this included because Suze Orman is a big proponent of keeping an eye on your credit report and score.

    So let’s talk about getting this prepaid debit card’s fees. You will have to pay $3 to purchase it. This fee is lower than most other prepaid debit cards. And then you have a $3 monthly account maintenance fee with the first month waived. Compare this to other cards which can run from no cost per month all the way to $9.95 a month.

    You can get free ATM withdrawals at over 35,000 Allpoint locations for the following 30 days you make a Direct Deposit of $20 or more. You can find these ATMs at places like 7-Eleven, CVS, Costco, Kroger, Target and Walgreens. Otherwise you will have to pay a $2.00 fee.

    You also get free online bill pay and a free additional card along with no activation fee.

    You do not have to pay a fee to purchase with a signature or PIN transaction.

    You also get one free live customer service agent call per month and $2.00 per call after that.

    If you like to receive a paper statement that will cost you $2.00 per statement.

    When you check out the fee chart you will see that most of the fees can be waived for a 30 day period after you Direct Deposit $20 or more.

    So who is the Approved Card by Suze Orman for? People who do not want to use a secured credit card, people who cannot get approved for a checking account due to bad credit, and people who will deposit less than $1,000 each month through Direct Deposit.

    It’s not the best prepaid debit card but it is also not the worst prepaid debit card.

    For more from this author visit:  Tameka Riley’s Author Page

Prepaid Debit Card Reviews, Complaints, Etc