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What Is a Prepaid MasterCard You Should Know

Many people don’t know what is a prepaid credit card. In this article I will try to define a prepaid credit card or to be exact a prepaid MasterCard. This is no big science so I think you should understand what it is after this article, but if you don’t, feel free to ask questions in the comments bellow!

Ok, so what is a prepaid MasterCard? Prepaid MasterCard is a prepaid credit card issued by MasterCard company. So it’s a special brand of prepaid credit cards. That doesn’t answer our question however… Let’s take a look at what is a prepaid credit card.

As you probably already know, usually you pay stuff with your credit card and at the end of the month, you get a bill of your credit card spending’s that you have to pay. Prepaid credit card is not like that. With prepaid credit card you have to “prepay” your spending’s. Let’s give an example. You want to buy jeans with your prepaid credit card… You will be able to buy them only if you have prepaid enough money in the beginning of the month.

This is more or less it… But why would anyone take a prepaid credit card, if a regular one is better in that point of view? Well if you have problems with debt, prepaid credit card might be your only option. None will give you a credit card if you are a “risky” person.

Another positive side of prepaid credit cards are interest rates, that are equal to 0. You don’t borrow anything and therefore you don’t pay any interest rates.

I’m not saying prepaid credit cards are always a way to go. But now you know what they are and you can decide what kind of credit cards suit you the most.

Marco Polo
Marco Polo is the admin of sparebusiness.com. He is dedicated to provide informative news about all kind of business, finance, technology, digital marketing, real estate etc.

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