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The prepaid debit cards and pre-paid credit cards can help you control your spending. A reloadable debit card allows you to only spend up to the amount you have pre-deposited into the account. If you tend to overspend or would like to control your spending then a pre-paid debit card or prepaid credit card could be a good card for you. This is also the best option for the teens for which a credit card is the new 'must have'. The American teens already benefit from such a card and soon the British teens will have their versions.

The prepaid cards are similar to normal credit cards allowing the user to spend money that is already loaded onto the card. A prepaid credit card is the solution for those who want the convenience of a credit cardbut can’t get one due to poor or no credit history.

Because the money is loaded onto the card in advance, there is no credit risk for the card suppliers, unlike with traditional credit cards. Considering that no credit check, bank account or security deposit is required and further more no employment is required, anyone can apply for card. There is only an age limit: 13 years old. The pre paid cards can be used at any shop that accepts Visa or Mastercard and can also be used to withdraw money from cash machines.

The big advantage of the prepaid card is according to the providers that the product will prevent youngsters from falling into debt since money cannot be spent beyond the amount already loaded onto the card.

MINT, the business name of The Royal Bank of Scotland, advised that it will be launching a new pre-paid credit card that aims to improve the way the pre-paid services operate and to serve customers better.

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