Prepaid Cards

By Zaheer Shaikh

 A prepaid card is a payment card that's loaded with funds before it's used. It functions like a credit or debit card while shopping, but it doesn't draw on a line of credit or from a bank account. 

A prepaid card is also called a prepaid debit card, or a stored-value card. You can buy prepaid cards at many stores and online. 

Benefits of Prepaid Cards
  • Do not need a bank account to use a prepaid card.
  • Credit score of an individual is not a major criteria to qualify for a prepaid credit card.
  • A prepaid credit card can be used to pay for any goods or services that customers need not worry about having to make cash transactions for.
  • Prepaid cards can also function as a gift card and can be used as travel cards to load currency when an individual is traveling abroad.
  • If one uses an open looped prepaid credit card, they can make ATM cash withdrawals.
Types of prepaid card : There are two main types of prepaid card 
  1. Non-Reloadable : The card can be loaded only once but can be used multiple time before there expiry date till the balance available (Ex. Gift Card)
  2. Reloadable: These card can be loaded multiple time and can be used multiple time till there validity period. (Ex. Forex Card)
There are deferent variants of cards depending on there acceptance network
  1. Close Loop: Acceptance limited to single merchant or group of merchant
  2. Semi -Closed: Accepted by a large network of merchants but not all
  3. Open Loop: Accepted by wide network of merchants

Closed Loop Semi Closed Loop Open Loop
Non-Reloadable Shoppers Stop Gift Card, That is only accepted at shoppers stop Sodexo Card that is accepted in store where Sodexo is accepted HDFC Visa Gift card that accepted in all store
Reloadable Cafeteria Card Sodexo Metal card HDFC GPR card
HDFC Visa Forex Card

What is HDFC ForexPlus card
  • The HDFC Bank ForexPlus card can availed as a Visa card or as a MasterCard variant and is best suited for international travelers.
  • The HDFC Bank ForexPlus card can availed as a Visa card or as a MasterCard variant and is best suited for international travelers.
  • The HDFC Bank ForexPlus card can be loaded in various currencies namely Australian Dollar, Japanese Yen, AED (Dirhams), Canadian Dollar, Singapore Dollar, Swiss Franc, Euro, Sterling Pound, US Dollar and Swedish Krona.
  • Customers can use the HDFC Bank ForexPlus card to withdraw cash, make PoS and online transactions on completely secure platforms.
  • Card holders can reload this card at HDFC Bank branches, through NetBanking or Phone Banking, even when they are traveling.
  • Net Banking can be used by card holders to track card balance, spend and other details Prepaid Cards
Few more popular cards in India
  • SBI Prepaid Cards
    • State Bank Smart Payout Card
    • State Bank Xpress Money Card
    • State Bank Achiever Card
  • ICICI Prepaid Cards
    • Expression Gift Card
    • PayDirect Card
    • Meal Card
  • Yes Bank Prepaid Cards
    • Multi Currency Travel Card
    • Gift Card, jewellery Gift Card
    • Corporate Gift Card
    • Incredible India Domestic Travel Card
  • Axis Bank Prepaid Cards - Smart Pay Card

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