Benefits of Prepaid Credit Cards

The concept of prepaid credit card, which is quite often mistaken with a common debit card, has been around for quite some time. The two concepts have some common features and definitions, but the real fact is that the prepaid credit cards have some great features which debit cards don't have. A genuine problem or let's say an ironical fact that is present in the name of the card itself is that it is a 'prepaid credit card'. A credit card, as the name suggests, is a card or rather an instrument which tends to extend credit to the user. The credit card company bears the burden of expenditures paid for through the card. At the end of the month, or after credit card's bill arrives at our door step, we owe the company the sum total of all expenses, an obnoxious APR (Annual Percentage Rate) and in some cases, a brilliant fine of late payments may also be included in the bill.

In the recent recessional crisis, there were several credit card debts incurred by normal credit card holders. Fact is as of today, the common consumers of United States are suffering from burns of the recession, with the two key problems being: