Reloadable prepaid cards are payment cards that can be loaded with additional funds over time. Unlike debit or credit cards, prepaid cards are not tied directly to a bank account or credit line. However, these cards typically run on major payment networks such as Visa, making them widely accepted.
Benefits of Reloadable Prepaid Cards
- Financial Control and Budgeting: users can only spend the amount loaded on to the card.
- Increased Security: prepaid cards are not linked to any bank accounts but still offers the same stringent security measures from Visa or other card networks.
- Accessible and inclusive: individuals with no bank account can still apply for prepaid cards.
- Controlled spending: card issuers can apply rules on how prepaid card funds are used, such as limiting spend on the merchant category code, individual merchants or location of use.
- Wide acceptance: prepaid cards can be used almost anywhere traditional debit or credit cards are accepted, including online and in-person purchases and cash withdrawals.
- Immediate rewards and disbursements: prepaid cards can be distributed physically or digitally, which can be activated on the spot and used immediately. In the same way, reloadable prepaid cards can be issued instantly, and activated within minutes once the customer completes the online Know Your Customer (KYC) verification.
Top Cases of Reloadable Prepaid Cards
- Business Expenses
Companies can issue prepaid cards for business travel or project-related expenses, simplifying tracking and reimbursement processes. Employees and contractors who are working remotely or incur frequent work-related expenditures can benefit from using reloadable prepaid cards rather than paying for items out of pocket. - Rewards and Loyalty Programs
Prepaid cards are a popular rewards distribution method, with reloadable cards promoting ongoing customer engagement and loyalty. They are often integrated with customer accounts within loyalty programs for streamlined reward management and usage tracking. - Travel/Transport Expenses
Whether you’re travelling domestically or internationally, prepaid cards are a safer alternative to carrying cash and also minimise the risk of theft or fraud. Prepaid multi-currency cards are purpose built for travellers, allowing users to buy, hold and spend in multiple currencies with lower foreign transaction fees than a traditional bank. - Youth and Teens
Prepaid cards are a safe and convenient way for teens to learn money management without access to a full bank account. Companies that offer teen prepaid cards usually allow parents to monitor spending and top up their cards when funds are low. - Online Shopping and Subscriptions
Consumers use prepaid cards as a payment option for online shopping and subscriptions to avoid exposing sensitive banking information. - Emergency Funds / Disaster Relief
Prepaid cards are an easy way for organisations to distribute emergency funds quickly as a one-off charitable donation or as part of an ongoing payment program. - Corporate disbursements
Companies can choose to distribute benefits, grants, or refunds in the form of prepaid cards.
How iGoDirect’s Reloadable Prepaid Card differs from the market
The iGoDirect reloadable prepaid card distinguishes itself in the market by offering a blend of flexibility, customisation, and innovative technology tailored for businesses. Here are some of the key features:
- Customisation and branding: iGoDirect allows businesses to fully white-label their card programs across every customer touchpoint, from the card, portal and communication channels. This level of customisation provides a seamless customer experience, fostering trust and loyalty.
- Web-to-Wallet technology: Unlike many competitors, iGoDirect cards can be pushed directly to digital wallets (Apple Pay or Google Pay) from an email or SMS without requiring a separate app. This eliminates friction in onboarding and enhances usability.
- Open and Closed Loop Options: Businesses can choose between open-loop cards (usable anywhere Visa is accepted) or Visa Private Label cards (restricted to specific merchants or categories), offering flexibility depending on the program goals.
- Comprehensive Licensing and Security: As a Visa Principal Member and holder of an Australian Financial Services Licence (AFSL), iGoDirect ensures robust regulatory compliance and financial integrity. In addition, our Web-to-Wallet technology is Apple and Google certified and offers the tokenised security features of digital wallets.
Are you looking to explore the use of prepaid cards for your business? Or do you have a payment pain point that you would like to solve? Speak to our team of payment experts who can help your business simplify your payment challenges.