If you do not have a credit card there is a good chance you will not be able to make the purchase. This is the bad news. Now the good news is that there is a solution.
One solution to this dilemma would be what is called pre-paid credit cards. Pre-paid credit cards looks like any other credit card. The only difference is that you have to pay money to the account to use. You can not charge more than what is on your account. It is kind of like a high powered checking account without the checks and is accepted even if you are traveling out of town.
A pre-paid credit card can be used by anyone (even those with bad credit) and it is guaranteed that a person will be successfully approved when they apply for one of these cards. But in order for someone to open a pre-paid credit card they will need to deposit a certain amount with the bank where they are getting the card from. The bank will then issue with a line of credit in relation to the same amount of money that you have actually deposited with them.
The invention of the Pre-Paid credit card has several advantages and disadvantages. The advantage of having this type of card is that you can have an instant credit card without worrying about the usual credit check. Unlike a secured credit card, the person doesn’t have to have a bank account or deposit money.
Just Launch!
No.1 - Tune Card (RM50) the only VISA prepaid card available in Malaysia!
Tune Money Sdn Bhd is confident of attracting 500,000 members to sign up for its newly launched prepaid card, the Tune Card, by end-2008.
Tune Money has teamed up with Visa International to come up with Tune Card and the card was available to anyone who applied for it as there was no minimum salary requirement or employment checks.
"At the moment, a significant proportion of the Malaysian working population do not carry a credit card, either because they earn less than RM1,500 a month and do not qualify for one or because they are afraid of the credit card debt spiral"
Tune Card users will be able to check their balances and transaction histories online which would allow for budgeting and better cash management.
Those interested in Tune Card can apply for it online via http://www.tunemoney.com/ or offline and need to pay the initial minimum load amount of RM50, and collect their cards at selected Pos Malaysia branches after seven days in West Malaysia and 10 days in East Malaysia.
Cardholders are charged an annual fee of RM9.99 (or RM0.83 a month) and are required to maintain a minimum balance of RM10 on the card at all times. They will subsequently be able to reload their cards through online payment via Maybank2u for Maybank, Clicks for CIMB Bank as well as at any Pos Malaysia, CIMB and Bank Simpanan Nasional branches.
Additional features like international money transfer, transportation payment, fund transfer between cardholders, bill payments, mobile reloads and loyalty programme would be added to Tune Card within the next three months.
Tune Money was looking at launching a hospitalisation insurance soon, and that it hoped to launch its unit trust products after the regulatory approval was received.
AmBank had attracted more than 100,000 prepaid cardholders since it started its prepaid card services in June 2006. Its collaborating partners include Metropolitan College, Smartlink and Cathay Cineplexes. It has a monthly fees of RM3 a month.
Just Launch!
AmBank (M) Bhd and Telekom Malaysia Bhd (TM) aim to sell more than 200,000 of the newly launched AmBank NexG-iTalk Prepaid Mastercard within a year,
AmBank NexG-iTalk Prepaid Mastercard, which is targeted at the younger consumer group, offers iTalk low international call rates, flexibility in reloading, worldwide acceptance as well as dial-up Internet access.
The card is available at all AmBank branches, Pan Gold, Faratech outlets and selected TMpoints while it can be reloaded at automated teller machines (ATM), cash deposit machines, Internet banking accounts via Interbank Giro and over 5,000 ePay merchants.
The starter pack starts at RM30, which includes RM10 pre-loaded iTalk airtime, and RM50, which includes RM30 pre-loaded iTalk airtime. A monthly fee of RM3 is charged to the card.
With Ambank NexG-iTalk Prepaid MasterCard you will enjoy shopping without the worries of carrying cash on hand. You can also make National and IDD calls with ease from any mobile or fixed line and enjoy the lowest call rates in town.
Unlike credit cards, there is no minimum income requirement, no age limit, no bank account is needed and its usage is just like that of a normal credit card. As a prepaid card, the user’s spending amount is limited only by the amount of money“loaded” into the card, which can be up to the maximum of RM10,000.
AMBANK (M) Bhd, dengan kerjasama Telekom Malaysia Bhd (TM) melancarkan kad prabayar AmBank NexG-iTalk MasterCard Malaysia Bhd (TM) yang dilengkapi ciri kad panggilan prabayar iTalk. Kad prabayar dua dalam satu itu boleh digunakan untuk membeli-belah serta membuat panggilan pada kadar yang rendah.
Kad prabayar ini disasarkan kepada pasaran golongan muda terutama pelajar, yang mana mereka boleh membuat pembayaran dan panggilan tanpa risiko membawa tunai. Berbeza dengan kad kredit yang mensyaratkan pendapatan minimum, umur dan pembukaan akaun, AmBank NexG-iTalk MasterCard boleh dimiliki sesiapa saja dan penggunaannya sama seperti kad kredit.
Ambank NexG-iTalk MasterCard datang bersama pratambah nilai masa berbual bermula dari RM30 dan nilai masa ke udara RM10 hingga RM50 masa berbual dan nilai masa ke udara RM30.
Other Prepaid Mastercard cards available in Malaysia......
No. 4 - RHB PlusOne eCash Prepaid Card
No. 5 -IMPIAN Card EON Bank 1st offering - IMPIAN Prepaid Mastercard.
No. 6 -MOL Freedom Card ( RM 25) - RM 15 will be deducted upon activation
EonBank 2nd offering is a Mastercard Unembossed Card named the MOL Freedom Card. It seems like a prepaid credit card but without the monthly fees yet it can be used for making payments like a credit card.
One of the most important of these is that you can not go over your limit. So as soon as your account is empty then you can not use the card and if you need to make more purchases using it then you need to deposit more money into your account.
A pre-paid credit card may be the way for parents to go who are looking for a way to give their teenager's spending power, but also curbing just how much they are able to spend. The parents are able to fill the card with an allowance or it may be that their teenagers put their summer paychecks on to whenever they can. By doing this you are able to provide your child with the freedom and security of credit card spending, but you are still in control of what they actually spend.
One of the biggest setbacks of bad credit is the inability to easily acquire credit cards. In today’s society the lack of this little piece of plastic can easily hamper many of your activities. Many establishments such as hotels or online purchase require a credit card to facilitate a transaction.
