Netspend cards are prepaid debit cards that allow cardholders to make purchases just like traditional debit cards. However, these cards are loaded with a certain amount which you can utilize, unlike debit cards.
Netspend cards can be used internationally and are accepted at any location that accepts a debit Visa or Mastercard, depending on the card’s brand.
Netspend is a TSYS company and a registered agent of Axos bank. It serves over 10 million customers and offers more than 130,000 reload locations in America. It falls under the category of the best international prepaid debit cards.
Prepaid cards have become a popular mode of financial transaction in the United States. An article by Consumer Reports stated that “Americans are charged $57 billion, accounting for 9% of all payment-card purchases made at merchants in 2016,” based on the latest available data.
And, if we were to consider these figures, it is not surprising that U.S customers are using their prepaid cards on vacations abroad. But the question arises that can Netspend cards be used internationally?
Using Netspend card overseas
Netspend cards can be used worldwide and prepaid cards have always been a smarter choice if you are willing to travel abroad. Prepaid debit cards are safer as well. If your card is stolen, lost, or compromised, you can call customer service immediately and get it deactivated. Travelers can also receive money in their cards from friends or family who also utilize Netspend cards.
Moreover, Netspend cardholders can send or receive funds through Western Union to over 200 countries. It is also possible to use the Netspend mobile cheque load feature via the mobile app to make your cheque deposits easier in your Netspend account.
However, there are various drawbacks to using it when you travel internationally. For instance, many of the Netspend cards do not carry the newer technology that is being added to most cards, such as the chip feature. Most of the European transaction terminals are using this technology in order to reduce theft and fraud. There are no Netspend reload locations outside the U.S. so you might have to carry an extra amount for a trip or ask your family or friends to get your card reloaded.
Fees and charges abroad
The fees and charges for different types of Netspend cards vary. To use the cards, customers can choose either the pay-as-you-go plan or the monthly plan.
The pay-as-you-go plan has no monthly fee but collects per-transaction fees of $2.00. On a monthly plan, you have to pay $9.95 per month with no transaction fees domestically. There are other charges that can apply for both plans, including fees for ATM withdrawals, cash reloads, and balance inquiries.
There are additional fees involved in using the card internationally. When you buy standard items or services overseas, the foreign transaction fee is 3.5% of the U.S. dollar amount. On every international ATM withdrawal, there is a charge of $4.95 per withdrawal along with the ATM’s own transaction fee.
International balance inquiries are $0.50 each and a declined transaction internationally will cost you $1.00
Are there any international prepaid debit cards?
International banks and financial service companies can issue you a prepaid debit card like those found in the U.S. but, these cards are generally available to the residents of the country where the bank is located. However, your U.S-based prepaid debit card can be used overseas so there is no need to obtain an international prepaid card for your foreign travel.
Conclusion
International card transaction costs can be expensive regardless of the type of card you use. When traveling abroad, Netspend prepaid debit cards can be a good way to avoid overspending. They also offer a safety net if a card is stolen or lost. You can add money to your Netspend card through Western Union or Netspend mobile app.
Generally, foreign transaction fees and international ATM withdrawal charges from Netspend are comparable with other debit cards and it is always a smart decision to compare your option so that you determine the best choice for your money. You need to be aware that some stores, restaurants, and hotels may not be able to process charges if your card isn’t equipped with a chip transactor. So you need to make sure that the option you are choosing for your prepaid debit card carries a chip card.