Credit and Debit Card Ratings

Tax Refund Cards

Try this as an exercise sometime. If you owe money to the Internal Revenue Service (IRS) or pay quarterly taxes, log onto your bank account to see just how quickly the check you send them gets deposited. It’s fast, very fast. And to be fair, the IRS is pretty speedy itself when it comes to issuing tax refunds.

But just how fast the IRS gets that cash back to people depends on a few factors, including whether or not a return was filed electronically and whether a taxpayer has a bank account. In the case of people who have an account and opt to have their refund directly deposited, the wait can be as little as 10 days. For those lacking a bank account, though, the delay can be much longer, though the IRS says that it expects over 90 percent of refunds to be issued in less than 21 days this year. Still, if someone chooses to have the IRS mail them a check, the wait is longer to actually receive the refund and often includes a 5-day waiting period for the check to clear their banks. Additionally, if a refund check is lost, stolen or returned to the IRS as undeliverable, a replacement check cannot be mailed until 28 days after the original check was mailed.

For those without bank accounts who want to receive their money ASAP – which is probably everyone, especially given that the average refund over the past few years has been about $3,000 – a prepaid debit card can help. Almost any prepaid debit card can be used to receive your tax refund via direct deposit. Some states, such as New York, also permit their tax refunds to be sent to prepaid debit cards as well. Some taxpayers may benefit from having their refund go to a prepaid card even if they do have a bank account; it can mean that a few thousand dollars doesn’t get lumped in with their regular spending rather than safeguarded for a specific project or purchase.

Tax preparation companies like H&R Block understand the need some people have to get their refunds quickly and offer prepaid cards of their own. But as with any prepaid debit card, those used to receive tax refunds charge a variety of fees, including for withdrawing money and other activities. Indeed, H&R Block’s Emerald $2.50 to withdraw cash from an ATM and levies an additional $2.50 if an account is inactive for 3 months. Weighing whether the fees are worth the quick refund is an important part of deciding if a prepaid debit card is the right choice.

 

Category: Best Low Fee Prepaid Cards

Millions of people are turning to prepaid debit cards as a smart alternative to carrying cash and writing checks. Almost anyone can qualify and they don’t require a credit check or a bank account.

Though they carry credit card logos and can be used anywhere a credit card is used, unlike a credit card, they do not offer a line of credit. The user can only spend the amount that has been loaded onto the card or placed into the account associated with the card.

There are dozens of debit cards on the market, many of them issued by the same bank, but fee structures are vastly different. Bestprepaiddebitcards.com has done all the research for you and provides comprehensive reviews to help you decide which card is best for you.

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  • Tax Refund Cards

    Tax Refund Cards

    Try this as an exercise sometime. If you owe money to the Internal Revenue Service (IRS) or pay quarterly taxes, log onto your bank account to see just how quickly the check you send them gets deposited. It’s fast, very fast. And to be fair, the IRS is pretty speedy itself when it comes to issuing tax refunds.

    But just how fast the IRS gets that cash back to people depends on a few factors, including whether or not a return was filed electronically and whether a taxpayer has a bank account. In the case of people who have an account and opt to have their refund directly deposited, the wait can be as little as 10 days. For those lacking a bank account, though, the delay can be much longer, though the IRS says that it expects over 90 percent of refunds to be issued in less than 21 days this year. Still, if someone chooses to have the IRS mail them a check, the wait is longer to actually receive the refund and often includes a 5-day waiting period for the check to clear their banks. Additionally, if a refund check is lost, stolen or returned to the IRS as undeliverable, a replacement check cannot be mailed until 28 days after the original check was mailed.

    For those without bank accounts who want to receive their money ASAP – which is probably everyone, especially given that the average refund over the past few years has been about $3,000 – a prepaid debit card can help. Almost any prepaid debit card can be used to receive your tax refund via direct deposit. Some states, such as New York, also permit their tax refunds to be sent to prepaid debit cards as well. Some taxpayers may benefit from having their refund go to a prepaid card even if they do have a bank account; it can mean that a few thousand dollars doesn’t get lumped in with their regular spending rather than safeguarded for a specific project or purchase.

    Tax preparation companies like H&R Block understand the need some people have to get their refunds quickly and offer prepaid cards of their own. But as with any prepaid debit card, those used to receive tax refunds charge a variety of fees, including for withdrawing money and other activities. Indeed, H&R Block’s Emerald $2.50 to withdraw cash from an ATM and levies an additional $2.50 if an account is inactive for 3 months. Weighing whether the fees are worth the quick refund is an important part of deciding if a prepaid debit card is the right choice.

     

  • MasterCard Prepaid Gift Cards

    MasterCard Prepaid Gift Cards

    It’s a dilemma that the choosiest among us are bound to face. We receive a Target or Walmart or some other retailer-specific gift card from a friend or relative and, whether we tell anyone or not, just can’t find something we want. Instead of admitting to being a total prima donna, we just put the card in a drawer and forget about it. Avoiding that kind of wasteful situation is just what the MasterCard Prepaid Gift Card is meant to do. With worldwide acceptance at millions of locations, the recipient of one of these cards is never limited to what’s available in just one store. In fact, with the ability to use them for online payments and purchases, MasterCard Gift Card holders aren’t even limited to the brick and mortar world. Depending on the issuer, most gift cards can also be personalized with photos, a personal message, or the recipient’s name.

    For the most part, a MasterCard Prepaid Gift Card works just the way you would expect. The purchaser of the card selects a funding amount – one that cannot be added to later on – that cannot be exchanged for cash. Whether you opt to personalize the card is up to you, but each one carries the MasterCard logo and is accepted anywhere Debit MasterCard cards are accepted. Safer than an envelope stuffed with $20 bills and much more flexible than gift certificates, card recipients also have access to 24/7 customer service and balances are protected from unauthorized use.

    While that is all straightforward, there are some wrinkles to how MasterCard Prepaid Gift Cards – which are available at bank branch and retail locations as well as online and over the phone – work that recipients should know. Though many come already activated, you’ll need to check your card, receipt or packaging for any specific instructions. Also be sure to look at the front of the card to see if there is an expiration date; most don’t have them, but better to know whether it does right away. Users of these cards should also be aware of something known as a “split tender” transaction. This is when the purchase you’re making is for less than the value of the card. What normally happens in this case is you simply tell the cashier how much to deduct from the gift card and then provide another form of payment to make up the difference. Be aware that some merchants won’t do this and always know your balance ahead of time, since some stores won’t be able to access that information. Finally, don’t toss the card after you actually do make a purchase. If you opt to return an item, you’ll need to show the card to the cashier in order for the money to be credited back to you – remember, you can’t get cash by using gift cards.

Credit and Debit Card Ratings