The Benefits of Prepaid Credit Cards

Introduction

Prepaid credit cards are products that are growing in popularity in many areas of the world. Basically, they are credit cards that have been loaded up with a predetermined credit limit. The prepaid cards are typically in the form of a major credit card, with a sponsor name attached.

Once the credit on the card has been used, it may be tossed in the garbage or in some cases it can be loaded up and used again. Prepaid cards can be used in a variety of different scenarios, and offer several benefits.

Ideal Gift Choice

Prepaid credit cards make the ideal gift for virtually any occasion, and work exceptionally well for people that you don’t know really well. So often, a lot of guesswork goes into selecting gifts for people and it can be extremely difficult trying to get inside someone’s head that way.

Ideal Gift Choice

Prepaid cards give the gift recipient some flexibility, and they are limited to just one store or type of product. Sometimes, it’s the act of going out and shopping that people like the most, and when they receive a prepaid credit card as a gift, that becomes a possibility.

Accepted Everywhere

When you use major credit cards like Visa as the prepaid card, you can use it pretty much everywhere and for any product or service. You might use the card to make an online purchase, get gas for the car, pick up a few groceries or go to the movies.

Accepted Everywhere

The flexibility of major prepaid cards means that they will be appreciated regardless of the reason they are handed out. Some may argue that a prepaid credit card is a lazy way to give a gift, but why risk getting something the person isn’t interested in if you don’t have to? Even if someone usually enjoys a certain gift, you never know when they might be in the mood for something new. A prepaid credit card allows them to choose.

Easily Brand Customized

One exciting benefit of prepaid credit cards is the option to customize them with brand colors in certain situations.

When you’re speaking of a loyalty or rewards program, the recipients of the prepaid cards will be able to associate them with your brand, because the card will be all decked out in your colors and logo. It’s another way to create that positive mind association that all companies look for.

More Business Benefits

Prepaid credit cards have many more business benefits than simply showing off the brand colors and logo. It’s true that the brand association will follow the card around no matter what the application is, but you can use them for several interesting purposes.

•Incentive Programs – lots of different businesses use employee incentive programs, and the cards can be used as the rewards for the employees who come out on top. This way the employees get a prize for meeting certain goals, and that branded card is still being used out in the world. Incentive programs for customers might also be an effective spot for using prepaid cards.

More Business Benefits

• Expense Accounts – when employees must travel for business, there is often a lot of paperwork and discrepancies over how much was spent and how much should have been spent. Prepaid credit cards might benefit both sides because only a predetermined amount can be spent.

More Business Benefits

Some of the expenses where a business might choose to use a prepaid credit card include airfare, vehicle rentals, food, lodging, entertainment and incidentals. If prepaid cards are used for business travel, they are easily reloaded and used again, as needed.

•Customer Rebate Program – customer rebate programs are clever marketing strategies, because many times nothing really changes aside from the customer perception. Luckily, perception is incredibly important and enough to show a surge in sales.

More Business Benefits

The thought of getting something back for taking an action they were going to take anyway is enough to drag many customers over from the competition, and give you a chance to convert them permanently. Using prepaid cards for rebate programs is fast and convenient, and it’s something that all customers can relate to.

Depending on the type of business you run, many of the cards may end up being put right back into the business, too. This is a spot where the branding colors and logo will work well, and the amount should be in proportion to the amount they must spend to get it.

Advice

As explained in this document, prepaid credit cards are very useful for consumers.

Berkeley Payment Solutions helps customers implement best-in-class prepaid Visa card programs. Visit http://www.berkeleypayment.com/ to build a Visa prepaid gift card program to meet your individual needs.