There are many reasons why pre paid credit cards make sense for business. The other day I went into my Paypal account and saw a charge for over $100 that I did not want to be placed through this method of payment. It was an automatic charge for web hosting.

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The Paypal account was low on funds and the money was taken from my bank account. Here is the problem the bank account is only used to pay bills. The extra funds taken out would cause this account to bounce when the regular payment were to be taken out. The web site hosting company did not make it clear that I would have the funds taken from Paypal without approval; I guess I missed this in the fine print. This made me think how important it is to use a source of payment that is limited to a small amount or nothing at all. It is also much easier to get rid of a pre paid card then a bank account or Paypal. With a bank account it would be a major problem if I had to cancel the account and make new arrangements with my trusted list of payees like my car insurance company. In order to protect your self online I have said this before get a pre paid credit card and use it for everything that can have any possibilities of recharging or miss using the information. This way you are protected and save yourself much grief.

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