Please sign in to post.

Pre loaded debit card?

Prepaid debit card?
We are at the airport, we got our money changed. The lady wanted us to get a prepaid debit card. Preloaded. Is this worth doing, or dangerous. We would use it for shopping or dining where we can't use credit card.

Posted by
6630 posts

I would investigate carefully to see if there are any transaction fees, and if the balance ever expires.

I also wonder if a place that didn't take credit cards would take debit cards?

Posted by
2199 posts

Don't do it. Who knows what this really is and how much of the card will be eaten up by fees.

Hopefully you have an ATM card with you that is linked to an account back home. That's what you should use to withdraw cash, to use for small purchases and when you can't use your credit card. Try to find an ATM machine attached to a bank, for extra security.

Once you have withdrawn cash, keep all of it safely tucked away in a moneybelt, except for a small amunt (40 euros?) of walking-around money.

Posted by
13 posts

Thanks, I'm not comfortable, she was a hard sell. So not doing it. Thanks for the caution.

Posted by
23701 posts

This question has been beat too death. The general conclusion is that pre-loaded debit cards are a poor choice because of the fees both obvious and hidden plus the lack of consumer protection since pre-loaded cards do not fall under banking regulations. Treated as a gift card.

However, if you are changing money at an airport money exchange then you are already paying exorbitant fees so the pre-load debit card might be OK. But the big point is -- the cheapest and most convenient way to obtain local currency is a debit card at a bank owned ATM in the country. Even if your banks charges fees for using the debit card, it is still cheaper than money exchanges at airports or in the city. Money exchanges should be the last choice.

Posted by
3522 posts

No, not a good idea. Run away!

Exchanging your money at the exchange booth you already paid them too much for the cash you received. The pre loaded debit card will only eat away at what you got because they have fees for every thing you can possibly do with it. There is a fee to load the card, fee for every transaction, foreign exchange fee if you spend any type of currency other than what gets loaded, fee to cash it out at the end of your trip, fee to check balance, fees for the fees!!

Many of the people I have traveled with on tours bought these cards and found them totally useless. They would not work in ATMs to get actual cash nor were they accepted at restaurants or shops. Maybe they are better now, but I doubt it.

If you can't use a credit card for what you want to pay for, the debit card will not work either. Cash is your only option in that situation.