pre paid CC vs Savings

Puzzledbubbles

Hey All,

Went BR in March and am now looking for a way to look after the money that the OR says i should dedicate to annual/bi-monthly spends.

I am not sure whether to open a savings account or to use a pre paid cc.

Basically the money that i put away each month will cover cash payments like electricity and electronic payments like hair cuts. Within the money there would also be some holiday savings etc.

Now, is there anything stopping me putting all of this onto a pre paid cc rather than a savings account? my logic is that a savings account will probably be less accessible and will also be at a pants rate of interest.

But is there any limit on a pre paid cc - would i be peanalised for having one by the OR?

Thanks

Puzzled

philnicandamy

Nothing stopping you having a pre paid credit card the OR wouldnt be interested....savings accounts can be a little difficult while bankrupt IF you were lucky enough to find one I found with sainsburys sometimes it was a little difficult to get at the cash & transfers to another account took a while..

fiveyearplan

I have a prepaid cashplus card which I opened months before my BR and must admit I have only used it a couple of times however it is good for emergencies (if it has any money on it!). I was at Sainsbury's and didn't realise I had no cash so I was able to pay with that.

Puzzledbubbles

Thanks guys, think i might apply for the Virgin one and see how it goes, would rather have it on a pre paid cc than in a savings account i cant get to if i need it in a hurry

philnicandamy

Thats the one good thing about stashing it on a PAYG card you can access almost straight away......a transfer from my sainsburys savings acc to my OH's bank took over a week! NOT good if you need the cash in a flash

Puzzledbubbles

Thanks Phil, thats what i was thinking, just need to do the application now - although im getting palpitations because it says credit card and thats a word i never wanted to hear again ...............................

sieve

Puzzledbubbles wrote: »

Thanks Phil, thats what i was thinking, just need to do the application now - although im getting palpitations because it says credit card and thats a word i never wanted to hear again ...............................

Hehe, if it's a credit card, then I am the pope

peachyprice

Just one thing to bear in mind, don't stash too much on it because the pre-paid cards offer no protection if the card company goes belly up. In the event of that happening you lose the lot.

Puzzledbubbles

sieve wrote: »

Hehe, if it's a credit card, then I am the pope

Thanks your holiness lol

Puzzledbubbles

peachyprice wrote: »

Just one thing to bear in mind, don't stash too much on it because the pre-paid cards offer no protection if the card company goes belly up. In the event of that happening you lose the lot.

Thanks Peachy - i hadnt thought of that hmmmm, now what to do what to do lol

Tobiwan_Kenobi

Just keep cash! I pay for everything with cash now & love it!