Using prepaid travel money is quickly taking over as the preferred way for people to pay for things when travelling overseas.
Not that long ago, the preferred method was to use traveller’s cheques. But just like regular everyday cheques are being rapidly replaced by debit and credit cards, traveller’s cheques are being tossed aside in favor of plastic cards as well. Of course people can always still carry cash, but that is never recommended, as it will not be replaced if it stolen. Every payment option has its own pros and cons, and prepaid cards are no exception. But here are some reasons why more and more travelers are flocking to them.
If you get a prepaid travel money card from MasterCard or Visa, the most widely accepted cards in existence, then you should have no trouble finding merchants that will accept your prepaid card. The way the card works is quite simple. Once you sign up for one, you put in the amount you want put onto the card and the money is taken from a credit card or bank account. The card is then shipped out to you and is ready to use from day 1 as soon as you activate. There are some fees involved when putting money on the card and when you activate the card, but there are fees associated with all of the other methods of currency conversion as well.
If you should happen to run out of money while travelling, as long as you can access a computer or phone, you can have more put on the card no matter you are in the world. Another reason people like prepaid travel money cards better than credit cards is the fact that they control how much they are spending. If your budget is limited and you only want to spend a certain amount, just put that amount on the card and you won’t end up spending more than you wanted to. With credit cards, you likely have a spending limit worth thousands of dollars. You can continue to spend even if you realize you need to stop. Plus, unless you are going to pay the card off in full that month, the amount of interest accumulated across all of your traveling purchases add up very fast.
A prepaid travel money card also is very secure, offering greater security than cash, traveller’s cheques and even credit cards. You will have a unique PIN number given to you and the prepaid card cannot be used without it.
Thursday 04 March 2010, 01:57pm
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