Prepayment card???

catkin1508

Hi we were recently flooded and our insurance company are sending a prepayment card with settlement of the balance of £990 to replace our things- just wondered if this is common practice now?
I always thought they sent a cheque? Unsure why it is being sent to way

Many thanks

InsideInsurance

Prepaid credit cards are common now.

It can be because it allows them to track where the moneys are being spent and secondly because with many they have deals with their preferred suppliers that whilst you get charged ticket price the insurer gets a rebate from them for all transactions on their prepaid cards

Buzby

You can decline this, as when I had a claim I needed to go to suppliers who did not accept cards (or who charge an additional fee). They sent a cheque without a problem.

catkin1508

i did wonder if they get seem special deal for using these cards- we are also getting some argos vouchers.
Bit worried if I ask for a cheque they might question why?
I just find it all a bit big brother-ish!! It won't make too much difference as we are replacing our flooded items but some things we are paying out now for. Anyone know if you can withdraw cash on these cards?
Thanks in advance