Society was considered to be a consumer society in the not-too-distant past. People used their credit cards like they were going out of style, and the banks were happy to increase the limits to encourage use. However, the collapse of the economy has changed all of that. Nowadays, many are seeking ways to avoid using their credit cards, but they still want the ease of use that cards provide.
An excellent alternative to an unsecured credit card is a prepaid debit card. You “load” the card with cash and use it like a normal credit card. Once the card runs out of money, there is no more freedom to purchase items because there is no more money. This simple fact curbs the impulse to buy that can come with unsecured, high-limit credit cards.
A large part of managing finances and staying away from consumer debt is controlling impulses. Don’t buy something just because you have room on your card. Switch to a prepaid card. You save money, have the ease of using a credit card for important purchases or paying bills, but don’t have the temptation of spending more than you have.
Getting yourself used to a prepaid debit card is the first step toward taking control of your finances and avoiding the credit card pitfalls. Other benefits include no late fees, no over the limit charges and no punitive fees of any kind. The only fees are ones that you know are there when you perform a specific function with the card.
You can avoid debt when you use a prepaid card instead of a credit card.