1. Helps consumers stay on budget
Christmas is the time of the year that many Australians fall off the budget track. In fact, last christmas Australians racked up almost $30 billion in credit card, with the average person amounting to $1,727 in debt.*
With 27% of people expected to take more than 12 months to pay off the debt, we believe the best way is to lay off the credit cards in 2020.
One way is to set aside a budget. Transfer that amount to a prepaid card and leave the credit and debit cards at home when you go shopping. It is an easier way to stick to a budget and overdraft fees, and interest charges are avoided.
2. More secure online shopping
Online shopping is a popular way to shop these days but sometimes it can turn into an upsetting experience when you’re hit with a fraudulent charge. With prepaid cards that risk can be reduced and there is added privacy as your personal and main bank account details are not linked prepaid cards. This protects one from potentially having to deal with identity theft or fraudulent charges on a credit or debit card.
3. Teaches kids how to manage money
Prepaid cards are great for kids to use as allowance or emergency funds without having to carry cash around. This means that the kids won’t have to deal with the responsibility of owning a checking account or the risks of credit card debt, giving customers peace of mind.
4. Great for overseas travel
Traveling overseas this year? Carrying a lot of cash while traveling is quickly becoming a thing of the past. Prepaid cards are a convenient and safe way to pay when you’re overseas as thieves can only get access to the money that’s loaded onto it, nothing else. With Vasco Pay being powered by Visa, this means cards under our prepaid card program are covered under Visa’s zero liability policy for any fraudulent charges or unauthorised payments made on your customer’s account.
* Finder.com.au “Australians have racked up $29 billion in Christmas credit card debt“, January 2019