When you have bad credit ratings, there is a high likelihood of being turned down when applying for traditional credit cards. Banks and/or finance companies demand an individual have decent credit before they will issue a card. The concern for many individuals is the necessarily for a card to order online, get cash from an ATM or to pay bills over the phone. No credit check credit cards are the answer for those needing a form of credit without having high credit ratings.
These cards work similar to a debit card for a savings account. The money is deposited into an account before a card will be available for use and the card will declined if there is not enough money available to cover the purchase.
This type of card is often referred to as being a prepaid credit card, which is partially true except that the card does not allow the user to build up debt with use. This type of card also cannot be used as a for of building credit.
They do offer the flexibility of a traditional cards without the worry of making a monthly payment for a large amount of debt. The account is preloaded and you can only spend the specific amount of money available in the account. Since the debts are deducted from money that is already there, you do not need a credit check for approval.
Having access to credit makes it much easier to shop, especially when shopping online. Many businesses will not accept checks or money orders for purchases made online. There are primarily two ways to put money on a card.
If the prepaid card has a bank account attached, the money can be directly put into the account through a bank transfer. Also, if the card is a bank managed account, arrangements can be made for direct deposits of your salary to be made. When the account is not through a bank, there are several locations that will load the card for you such as department stores or check cashing locations.
Having no credit check credit cards will make life much simpler when it comes to paying finances and when you need to get cash after the banks are closed. The cards can be used anywhere a credit card can be used, including automatic teller machines, car rental, bill pays and shopping online to name a few.