A Prepaid Visa Card = No Overdraft FeesNovember 19th, 2012 | Posted by in prepaid credit card
In the past few years, the Center for Responsible Lending has revealed a number of interesting and discouraging reports concerning banking fees. Fifty million Americans overdrew their bank accounts in 2009 at least once and 27 million of those people suffered overdraft fees five or more times that same year. In 2008, overdraft fees totaled almost $24 billion, a 35% increase in just two years. This raises the question: which banks are the worst culprits?
If there is any good news in this disturbing trend, it is that most of the largest banks charge flat overdraft fees, regardless of how many times an account holder overspends. Still, the highest fees average around $35 per transaction. Even worse are the tiered charges that accumulate as one regularly overdraws. Fifth Third Bank, for instance, charges $37 for subsequent overdrafts as well as an $8 daily fee until it is paid.
As the legislation slowly works to throttle these fees, there has never been a better time to invest in a prepaid debit card. Because your Visa debit card account is entirely dependent on what you put into it, you never need to worry about exorbitant overdraft fees or associated expenses. And since we have also eliminated interest fees, there is absolutely no risk!