For most people, one of many tourist attractions of the prepaid charge card is the fact, unlike a bank account, they think they have actually no potential for overdrawing and triggering hefty overdraft costs.
However the customer Financial Protection Bureau simply added limits that are strict those costs beginning. That may come as a shock to customers whom did not also understand their prepaid cards could ever overdraft.
It is a difference because of this industry that is burgeoning. About $65 billion had been packed on prepaid debit cards, significantly more than double the total amount. Therefore the CFPB estimates that quantity will increase again.
The cards are commonly offered at shops such as for example Wal-Mart and 7-Eleven, plus on the internet as well as in payday lending and check cashing places; and charm mainly into the “unbanked” — people who for starters explanation or another abandoned their bank checking account, had it canceled, or never ever got one in the place that is first. Continue reading “Think You Cannot Overdraft a Prepaid Debit Card? Reconsider That Thought”