Prepaid cards are actually debit cards, though they are referred to popularly as prepaid credit cards. A prepaid card functions like your prepaid mobile phone SIM. You load a certain amount to it every month or as per your needs, and use it when you want to.
Prepaid cards are very useful if you do not want to use cash everywhere, but cannot afford a credit card or a debit card because of the following reasons:
Prepaid cards are also good for foreigners who are in Singapore for a short to medium-term stay. These cards are also a great tool to build your credit score by improving your credit history. It is also an excellent mode of cashless transaction if you have no other means of making cashless payments.
You can also use the prepaid card as a gift for a friend or family member with pre-loaded money in them. Prepaid cards can be used at most terminals or POS machines in Singapore and abroad, making it very convenient to use.
Singapore does not have a huge market for prepaid credit cards, so there are few banks offering this product. Let us look at what you can do if you want a prepaid card on our island:
Fevo is a prepaid card offered in collaboration with MasterCard. Fevo can be used anywhere a MasterCard is accepted. It also comes with MasterCard privileges and can be used as an EZ-Link Card. You can also link the card with Samsung Pay. Fevo does not charge any annual fees, monthly bills or late payment fees. You also don’t have to meet any minimum income requirements, or submit to credit checks. Fevo has the following prepaid card options:
MasterCard Singapore also offers prepaid cards that don’t require credit checks. All you need to do is provide identity and income proofs. You can also use MasterCard PayPass for contactless payments. There are three kinds of MasterCard prepaid cards:
Though not many banks in Singapore offer prepaid cards, they are quite likely to give you one if you can state your case and show availability of funds. DBS and Maybank are two prominent institutions that offer prepaid credit cards to its customers. American Express is also known to provide prepaid cards in Singapore.
Charge Cards: Charge Cards by American Express is another alternative to prepaid credit cards or debit cards. These cards offer great rewards and benefits, and do not allow you to spend more than what you can pay back at the end of the month. Though there is no interest charge, if you do not pay off the balance every month, late payment fees will be levied. The main charge cards by AmEx are:
Prepaid cards charge nominal fees as maintenance fee, fee for a printed statement or statement request for past months, sales draft copies charges and withdrawal charges for using the card at ATMs of other banks or networks.
To get a prepaid card, you need not meet any minimum income requirement or credit score. All you need to do is provide valid identity documents and income proofs.
You can apply for a Fevo Card on the company website and for MasterCard Prepaid Cards through Fevo or Match Move Singapore. For prepaid cards from banks, you need to approach the nearest branch of your preferred bank.
Choosing a prepaid card depends on the following parameters:
Prepaid cards are a good choice if you do not want to worry about being in debt but want to build a credit history.