There has been a lot of buzz around Suze Orman’s new prepaid card. However, a prepaid card is still just a prepaid card and consumers should pay attention to the fine print. Here are some take-aways after looking at the fine print of Suze Orman’s new prepaid card:
- Monthly fee $3 (first month is waived)
- ATM withdrawal is $2 (Free for cardholders who set up Direct Deposit or a Bank Transfer)
- ATM Balance inquiries are $1 (Free for cardholders who set up Direct Deposit or a Bank Transfer)
- ATM transaction declined fees are $1 (Free for cardholders who set up Direct Deposit or a Bank Transfer)
- To speak to a live customer service rep it is free for the first call per calendar month, after that it is $2 per call
- Card replacements are $3
- Paper statements are $2
- To close an account it is free
- Bill pay electronically is free
- Bill pay by check is $1
Overall, the fees on the card are in line with other lower fee prepaid cards in the marketplace. At the same time, as is the case with many prepaid cards, the fees are lower if the cardholder sets up direct deposit or bank transfer (where the card is funded on a regular basis).
After three months of inactivity a card will be closed. This will likely help to prevent fraud and will prevent money from being lost to fees. Another piece to note is that cardholders will not be able to use this card at the gas pump, for hotels or car rentals. This may be inconvenient, but avoids the problem with debit holds which may tie up funds beyond those actually used for long periods of time.
The Approved Dashboard, the videos on the website and alerts may help consumers gain a better sense of their finances and how to use their money more wisely.