4 Alternatives to Big Bank Checking Accounts

Thanks for your story. As you point out, prepaid cards are indeed a great alternative to traditional checking accounts – both for the millions of un or underbanked Americans who cannot qualify for a checking account and for those who are simply fed up with the costs and hassles of banking and don’t want a checking account.

A 2009 Bretton Woods study found customers paid less to use prepaid cards, $108 to $320 a year, compared to checking account users who paid $200 to over $350 for similar services.

Consumers are increasingly turning to prepaid cards for their payments needs because they are good values and most allow them to pick and choose the features they want to pay for. Most cards charge no fees for cash back with purchase, online account monitoring and text alerts and will waive monthly fees if you have direct deposit.

Check out NBPCA’s Consumer Corner (http://nbpca.org/Consumer-Corner.aspx) or Like us on Facebook for more tips on how to have a great experience with prepaid cards.

Jennifer Tramontana, NBPCA

JenniferNBPCA of CO 10:29AM January 26, 2011