“Prepaid credit card” is a term that sometimes is (wrongly) used to refer to a prepaid debit card. A “prepaid credit card” is also known as a “secured credit card” – a card that extends minimal “credit” based on an amount of funds you deposit (as “security”)
A rebate card is a prepaid debit card that is issued by a manufacturer or retailer and loaded with funds associated with a product or service rebate.
Retailers issued $4.24 billion in rebates on rebate cards in 2008, according to Mercator, a market research consulting firm for the prepaid card
the term “reload” refers to the process of adding monetary value or cash to a prepaid debit card account. Different prepaid cards have different ways of reloading value.Many prepaid cards can be reloaded with value using direct deposit of paychecks (or government benefits checks), using cash at authorized “reload
A settlement bank is an institution authorized to execute settlement on the credit card payment processing system on behalf of the member or the member’s bank.
An approval response is an authorization that is received by a merchant when a transaction is approved.
An interchange fee, also called the discount rate, is the sum paid by a merchant to a payment card processor (either debit card or credit card) as a fee for accepting a credit card or debit card. The amount of the rate will vary, typically between 1 percent and 3
An “ISO” (or, Independent Sales Organization) is an organization that represents a Bank or other financial institution and that is permitted to sell the services of the Bank. ISO’s typically are the “face” of prepaid debit cards, and run the customer service operations, marketing, and other aspects of a prepaid
Gift Card Breakage is a term that refers to value on prepaid debit gift cards that have been sold but that was never redeemed or used by the cardholder. Revenue from breakage is almost entirely profit, since companies need not provide any goods or services for unredeemed gift cards.
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Wonder what the term “issuer” means? The “issuer” of a prepaid debit card (or teen card or gift card) is the financial institution that provides an account (and typically a piece of plastic, or debit card, to access the account) to a consumer. Issuers can include banks, credit
A “Charity Gift Card” is a gift card (or gift certificate, or virtual gift card) that is purchased by a “sender” or “purchaser” and given to a “recipient”. The sender or purchaser of the charity gift card buys the gift card from a gift card issuer (such as Read More