The Federal Trade Commission (FTC), the nation’s consumer protection agency, wants you to know how credit scoring works.
Credit scoring is a system creditors use to help determine whether to give you credit.
Because prepaid cards are associated with major card networks – Visa, Master Card, American Express and Discover – they can be used anywhere debit cards can: to buy groceries, gas up your car, even pay bills online. They even come with account and routing numbers, which means you can have your paycheck direct-deposited onto your card.
And because the fees merchants pay to accept debit cards (including prepaid debit cards) are lower than those for credit cards, there may be places that will accept your prepaid card, but not credit cards. By March 2015, customers had loaded billion onto the American Express prepaid cards, Serve and Bluebird.
Using the card online also gives you free shipping and an extra 30 days to return items, beyond the standard return policy.
If you follow stocks and the business world, you’re probably well aware of how much trouble JCP has been going through the last couple of years.
I’m not going to be a moral judge on you for wanting to hide your tracks online.
You just load dollars directly onto the card and then use that balance for purchases. without a checking account, prepaid cards offer the ease of card-based purchases without the hassles of dealing with a bank.
When the balance on the card dips too low, you reload more money. You can use prepaid cards to book a hotel room or rent a car.
In a nutshell, they have been losing customers like crazy.
But it seems like they’ve relaxed requirements for their credit card.