Prepaid cards have evolved over recent years to become more sophisticated, innovative and user-centric. No longer perceived as simply a travel card or gift card, consumers and businesses have caught on the benefits of prepaid cards in an age where credit card usage is at a decade low.
With the distinct advantage of being able to control your spending without linking the card to your bank account, prepaid cards are a fantastic option for people who want an easy to apply, simple to use, secure and reliable financial product.
Find out four unique ways prepaid cards are used to improve money management, business efficiency and security.
Supporting TV/Film Productions
Managing expenses on set can cause a serious headache for Production Accountants. Crews need to purchase food, transportation, last minute props and so on, and these petty cash expenses stack up quickly over the months of the production.
Prepaid cards are a great option because Production Managers can control their crew’s spending while giving individual staff and talents the financial freedom to buy things quickly and conveniently. This eliminates the practice of sharing credit cards and waiting for approval to purchase small ticket items. Production Accountants will also be able to plug their expense reports into their accounting software for easy reconciliation and budget allocation.
Supporting Carers and Social Workers
For carers and social workers, having access to a prepaid card means that they can pay for purchases on behalf of their clients or for themselves more conveniently and securely.
Instead of paying out-of-pocket and having to claim a reimbursement later, or relying on cash, carers can use prepaid cards as a dual-purpose shopping and expense card for groceries, medicines and transportation. This protects the carer and the client in a more transparent way. Carers can also check their balance via a mobile app and download report to submit to their organisation or client.
Learn more about the benefits of having a Carer’s Card
Fuel or transport card for workers
If you’re a business owner with employees and contractors on the road regularly, consider leveraging prepaid cards as a way to manage payments for fuel and travel-related costs.
For companies that have their own fleet, prepaid cards are particularly useful as fuel, oil, fleet maintenance and repairs represent a critical part of the business operations and expenses.
Prepaid cards can be tailored for fuel management by setting spending and transaction limits, as well as limiting purchases to fuel-related expenses only. Companies can choose to allocate prepaid cards to employees or vehicle, both of which supports the administrator to track spending and top up cards when funds are running low.
Financial inclusion for the vulnerable
Just prepaid cards can provide children and teenagers with financial independence and protection, the same can be applied to other financially vulnerable groups, such as the elderly and NDIS participants.
With a relentless variety of internet and phone scams targeting the financially vulnerable groups, prepaid cards offer a unique advantage over credit or debit cards, as they are not linked to a bank account. Prepaid cards can’t be overdrawn and often come with a daily withdrawal limit. While we may see these limits as imposing, for these members of the community offers a layer of protection against scams and unintended large purchases.
The shift towards contactless payments and online shopping means that more people are venturing into internet banking and online payments for the first time. For some elderly people and people with disabilities, changing their habits requires education and support from others. Prepaid cards offer financial freedom for these people in a more controlled way.
