The 9 Best Ways to Transfer Money From Credit Card to Prepaid Card Online
Money transfer is a process of moving money from one account to another. When sending money from your account to someone else’s account, you are actually transferring money. You can transfer money from a credit card to a prepaid card online. You can also transfer money from a debit card to a prepaid card as well. During the transfer process, you have to incur small charges, which are realistic to the users. The transfer is mostly instantaneous, thanks to modern technology.
Before the introduction of digital banking, life was bad. The cards you see nowadays came into use in the 1970s. Before then, people used the ordinary ways to transfer funds from one account to the other. It required you to move to your bank offices and sign several forms to warrant the transfer of funds from your account to another account. Furthermore, owning a bank account at that time was rare since you had to show proof of a source of income.
Transferring money from your credit card to the prepaid card may be a bit different from sending money from one account to the other or from a bank account to the other. It is because prepaid cards do not necessarily link to any bank account. They are usually on their own. Contrary to the bank-to-bank money transfer, whom requires you to transfer money using the routing number and account number, you only need the prepaid card number to transfer money.
What is a Prepaid Card?
You might be wondering what a prepaid card is. Now that you are here, let me explain to you what a prepaid card is. A prepaid card is a type of payment card that does not need a bank account to operate. In short, it is not necessary you link it to any bank account.
The card requires you to recharge frequently depending on the available balance. You can use a credit card to recharge a prepaid card via an online platform. If I have a prepaid card account, I can transfer money from another account to my account. The other account could be mine or for someone else.
A prepaid card is important because it can help you to shop online and pay using the card number or to let the card readers read your card as you input your PIN to authorize the transaction.
Do I need a Prepaid Card if I Have a Credit Card?
If you have a credit card, you may not need a prepaid card since a credit card can serve any activity that could require you to use a prepaid card. The good thing with a credit card is that you can actually borrow money from your bank to use and repay back at the end of the month. The feature is different with debit and prepaid cards.
Again, you can transfer money from one debit card to another within no time. If someone else has money in his or her debit account, he or she can send you some amount of money from his or her card to your prepaid card.
Sometimes you may be unqualified to get a credit card from any bank due to your poor credit records. In such a scenario, you may decide to get a prepaid card. A prepaid card does not need your credit history since you will only use what is in your account and not more than that.
What is the Difference between Credit and Prepaid Cards?
Credit and prepaid cards are different from each other in different ways. First, a credit card requires you to have a bank account. You as a credit card user must link to an account from your favorite bank. To get a credit card, you can open a bank account with no deposit required from various banks in the country. A prepaid card does not require you to have a bank account. However, you can link a prepaid card to a bank account.
Secondly, you spend money from a credit card as borrowed money to pay later at the end of the month. You have to operate within a certain limit, beyond which you cannot do any transaction. For a prepaid card, you only spend what is in the account.
A prepaid card becomes very essential when you want to send money to someone without a bank account. However, the recipient might have a bank account to receive payments. You can also send money from one prepaid card to the other with ease.
What are the 9 Best Ways to transfer money from credit card to prepaid card online?
There are different apps and websites in today’s market that aid in money transfer. It might be difficult to choose which is the most suitable for you. That is why I am here to give you detailed information so that you can make an informed decision on which company you can use to send money. The following are the ways you can transfer funds from your credit card to a prepaid card online.
1) PayPal
PayPal is so far the most used online payment platform, which allows you to send and receive money from various sources across the world. It is also useful during the payment of goods and services.
When transferring money from a credit card to a prepaid card, you just navigate to the send money area, click the send money tab, and follow the steps. You have to input your card number and PIN before selecting the final step.
During the payment process, PayPal may send you a confirmation code message. You have to keep your phone number active during that time. Funds will take between 1-3 business days before reflecting on the prepaid card account. The transaction fee is 2.9% of the amount to send.
2) Payoneer
Payoneer is becoming a very popular payment method of late, thanks to its simplicity. If you have a credit card and would like to send money to a prepaid card, then you can consider Payoneer. The fact that the company has tight security ensures that your transaction process is secure.
Payoneer acts as an intermediary during funds transfer. During the process, you will have to provide your credit card number so that you can send money. Like PayPal, Payoneer will send you a confirmation code to ensure that it is you sending money and not a robot or hacker.
Again, you have to provide the card’s PIN. PIN actually comes before the confirmation code. You then have to quote the amount to send before submitting it. Charges are somewhere around 1% of the total amount. Learn more
3) Venmo
Venmo belongs to PayPal. It is an app that enables smartphone users to send money swiftly to their recipients under low or no cost. Upon joining Venmo, your transfer limit stands at $299. It increases with time.
Using a credit card to transfer funds to a prepaid card, you will pay 3 % of the total amount of money you are sending. However, other payment methods are free with Venmo.
In summary, the process involves entering card number, entering the receiving prepaid card account number, quoting amount to send, input PIN as well as the confirmation code and send.
The good thing with Venmo is that it has a social media feed that displays your transactions. However, it is not FDIC-insured so I will advise that you do not leave money there. Learn more
4) Zelle
If you are sending emergency funds, then I will advise that you use Zelle. Funds reflect in the recipient’s account within minutes unlike other platforms such as PayPal and Payoneer, which may take up to three days for the transactions to complete. Zelle collaborates with banks and credit unions to avail funds to the concerned customers.
Actually, over 50 banks came together and created the Zelle app so that they can integrate it with their apps. Once you have your bank account app, you can see if it is integrated and provide your phone number to get a confirmation message so as to link your credit card with Venmo. With your credit card linking to your bank account, you can send money to your prepaid card instantly. Learn more
5) Google Pay
One of the good things with G Pay is that funds are FDIC insured. Your money is thus safe while at the G Pay account. Again, the G Pay integrates with your Gmail account so that you only need the recipient’s Gmail account or phone number. To use your credit card to send money to your prepaid card, you have to integrate the card with your account.
The process of credit card integration is instant and free. The account allows you to send large amounts of money to your recipients up to $9,999 per transaction. Like the previous apps, I mentioned above, you can send money to your prepaid card with G Pay so long as you have integrated your credit card account with your G Pay.
6) Square Cash
Square works with both Android and iOS. It requires you to download the application from the Google play store or App store and register. You then link your credit card with your Square app so that you can transfer cash from your credit card account to a prepaid card. The prepaid card owner can link the card to his or her square app to receive payments.
When sending money, charges apply. Normal charges for square include 3% of the total money to send. If you want the funds to reflect immediately, you have to pay 1% more.
As a first time user, you will have transaction limits more so if you have not verified your credentials. You will only be able to send $250 per week and receive $1000 per 30 days. Learn more.
7) Chase QuickPay
I am still giving you more options to transfer money from your credit card to a prepaid card. Chase QuickPay is mainly for Chase Bank users. However, you do not need to be a member of Chase bank to use the service. If your sender or recipient is a Chase bank user, then you are good to go.
Chase QuickPay also integrates with the Zelle app so as to make payments easier. Chase bank is one of the founding banks of Zelle. Chase QuickPay allows you to transfer funds of up to $2,000 per day, and $8,000 transfer limit within a week as well as a $16,000 transfer limit per month.
Chase QuickPay requires both the sender and recipient to have a bank account. You thus need to link a prepaid card to a bank account. Learn more
8) WorldRemit
WorldRemit allows you to transfer funds from your credit card to your prepaid account easily. You must create an account first of which it takes around two minutes to finish.
After completing your registration, you then navigate to the send money option whereby you have to link your credit card with your WorldRemit account. The recipient prepaid cardholder can link the card to a bank so as to receive the money.
When transferring money, you need the phone number, the full name, and the address of the recipient. You also need the bank’s details such as the bank name, IBAN number and SWIFT code to succeed in the transfer process.
Fees vary depending on the country you are sending money. Again, the time taken for the money to reflect on the recipient’s account varies from bank to bank. Learn more.
9. Azimo
Azimo has more than one million users worldwide. It offers faster and cheaper global money transfer. You have to register an account with Azimo before setting up the transfer process.
Once you create your account, choose to pay with your credit card, follow the payment guidelines and proceed. You will need the recipient’s prepaid card number so as to transfer funds.
Azimo offers high-security details for your money and thus you should worry less about the same. They have biometric security. The first two transfers are free. Afterward, you pay a little fee for every transaction you undertake. Learn more
Bottom Line
Transferring money from a credit card is easy as long as you follow guidelines slowly without haste. It helps parents to send their children money when they are in school. Moreover, people far away from home can send money to their loved ones. For a faster and successful transfer, the recipient should link his or her prepaid card to a bank account.
