Over the years I have seen many posts from people who ask others to buy premium on their behalf. Sometimes this is just plain scrounging and Im sorry, if this applies to you then Im afraid this article is just not aimed at you, sorry.
So, lets suppose you fall into one of these categories
Believe it or not there is a solution
The answer is a pre paid credit card
Most of this is ripped off from money saving expert, but the guy who wrote it is worth millions as a result of his advice, so it cant be that bad, can it?
What is a pre paid credit card
With a conventional Credit Card you are given a credit limit. In effect its a loan and you are allowed to spend no more than they allow you to borrow. You then are charged a fee for the amount you borrow. The more you borrow the more you pay.
A pre paid credit card does exactly what it says on the tin. It looks, feels and acts exactly the same as a credit card exept for one main difference. You have to pay the credit card people BEFORE you are allowed to spend money. This means that you never pay interest charges on anything you spend
How do Pre Paid Cards work?
They are very simple to use. Get a card, load up the cash, spend the cash.
HOWEVER - Because they dont charge on monies borrowed they, instead, charge fees. These companies have to make a profit afterall. You therefore have to look at where the charges are being applied and therefore decide which card is best for you.
APPLICATION - Some, but not all will charge you an application fee. This is a once only fee in which to cover the cost of producing a card for you. If this is a major factor for you then look for one that is free.
REPLACEMENT - Most companies will charge a fee if you lose your card and they have to issue a replacement fee.
ANNUAL FEE - Some companies charge an annual fee. This means that its cheaper if you use the card a lot during the year.
USEAGE - Some companies charge a small fee each time you use the card. This is better for people who only use a card a few times annually.
TOP UP FEE - Some companies will charge you a fee each time you load up money onto your card
CREDIT BUILDING CARDS
Some companies claim to rebuild your credit history. I personally would say that other companies do that better, so if you are looking for a card that rebuilds your credit history then this article is not for you. Not saying that you cant do it, but there are cheaper ways to do it
So, What is the best card to use
Well, like every product on the market, companies come and go, change their products or change their prices but from what I have seen, and as recommended by Money Saving Expert, a really good card is the Lebara Pre Paid Credit Card
The lebara does carry a £9.95 application fee. However, this is reduced to £0 if you load it up with £20 or more upon application. That to be is not only a bargain but also a no brainer.
There are no spending fees, so each time you use it, it will cost you exactly the cost of the item you are purchasing
The best way to load up your card is via bank transfer as then the costs are free.
If however, you dont want to give away your (or your parents) bank details you can either top up with a debit card, or pop down to a local post office. They will charge you £1.00 per top up but you dont have to give away your bank details.
Once you have deposited money and then decide you want it back this is the costly bit. If you make a withdrawal via a cash point machine it will cost you £1.50, so I would advise only to load up what you need, and then spend it. Mind you, some of the garage ATM`s these days charge that or more to use their machines.
Now, here is the best bit. You get two cards. One for a parent and one for yourself. Money can only be loaded onto the main card and the main card holder must be 18+. The second card holder must be 13 or more. This must give parents greater piece of mind.
So, next time anyone says they cant buy premium for themselves, point them to this thread.
So, lets suppose you fall into one of these categories
- - You are young and your parents dont support you playing computer games that cost money
- - You have a poor credit history and can not get a credit card
- - You dont trust Paypal
Believe it or not there is a solution
The answer is a pre paid credit card
Most of this is ripped off from money saving expert, but the guy who wrote it is worth millions as a result of his advice, so it cant be that bad, can it?
What is a pre paid credit card
With a conventional Credit Card you are given a credit limit. In effect its a loan and you are allowed to spend no more than they allow you to borrow. You then are charged a fee for the amount you borrow. The more you borrow the more you pay.
A pre paid credit card does exactly what it says on the tin. It looks, feels and acts exactly the same as a credit card exept for one main difference. You have to pay the credit card people BEFORE you are allowed to spend money. This means that you never pay interest charges on anything you spend
How do Pre Paid Cards work?
They are very simple to use. Get a card, load up the cash, spend the cash.
HOWEVER - Because they dont charge on monies borrowed they, instead, charge fees. These companies have to make a profit afterall. You therefore have to look at where the charges are being applied and therefore decide which card is best for you.
APPLICATION - Some, but not all will charge you an application fee. This is a once only fee in which to cover the cost of producing a card for you. If this is a major factor for you then look for one that is free.
REPLACEMENT - Most companies will charge a fee if you lose your card and they have to issue a replacement fee.
ANNUAL FEE - Some companies charge an annual fee. This means that its cheaper if you use the card a lot during the year.
USEAGE - Some companies charge a small fee each time you use the card. This is better for people who only use a card a few times annually.
TOP UP FEE - Some companies will charge you a fee each time you load up money onto your card
CREDIT BUILDING CARDS
Some companies claim to rebuild your credit history. I personally would say that other companies do that better, so if you are looking for a card that rebuilds your credit history then this article is not for you. Not saying that you cant do it, but there are cheaper ways to do it
So, What is the best card to use
Well, like every product on the market, companies come and go, change their products or change their prices but from what I have seen, and as recommended by Money Saving Expert, a really good card is the Lebara Pre Paid Credit Card
The lebara does carry a £9.95 application fee. However, this is reduced to £0 if you load it up with £20 or more upon application. That to be is not only a bargain but also a no brainer.
There are no spending fees, so each time you use it, it will cost you exactly the cost of the item you are purchasing
The best way to load up your card is via bank transfer as then the costs are free.
If however, you dont want to give away your (or your parents) bank details you can either top up with a debit card, or pop down to a local post office. They will charge you £1.00 per top up but you dont have to give away your bank details.
Once you have deposited money and then decide you want it back this is the costly bit. If you make a withdrawal via a cash point machine it will cost you £1.50, so I would advise only to load up what you need, and then spend it. Mind you, some of the garage ATM`s these days charge that or more to use their machines.
Now, here is the best bit. You get two cards. One for a parent and one for yourself. Money can only be loaded onto the main card and the main card holder must be 18+. The second card holder must be 13 or more. This must give parents greater piece of mind.
So, next time anyone says they cant buy premium for themselves, point them to this thread.
