Why wouldn't I, a non-Muslim want to do this? I'm retired, pay all my bills on time, have no mortgage, the only thing I need a card for is "convenience", (buying Anti-Obama bumper stickers online). Putting money "into" the card would be a loss of income from having money in my checking account at .0005% interest /sarc.
I've been a great credit card holder for years, and they've made money on me. Now, because I pay my bills, they are threatening to take away my credit. Every time I responsibly pay a bill, my credit rating takes a hit. Maybe something like this is what I could use?
OK, for some of you, get out the bic, light it off and pull the trigger .. I could care less about YOUR comments. But I'd really like a financial person to discuss this one.
(1) does this make financial sense?
(2) what's the downside?
(3) wouldn't it be discriminatory to DENY selling something available on the open market to a non-Muslim?
at some point, the admin costs have to be covered.
WHO foots that bill?
The deal actually seems reasonable. There is a 95 cent fee for each deposit made on the card, no fee for purchases, and a 1% rebate on purchases over $100. If the number of large purchases you make exceeds the number of payments, you come out ahead. This is far superior to the only other prepaid CC being advertised here, which charges fees for every transaction.
Indeed, it’s an option for us kaffir too. I myself keep an absolute minimum amount of money in my debit / checking account at a real bank. When I need to get something off the internet (plane tickets, car rental, Christmas presents to be shipped directly from the seller), I deposit some money, click it away on the purchases (usually the same day), and I’m back to my minimal balance.
I think what they’re talking about here are Visa or MC debit cards that don’t require a bank account, which as many have noted, have been available for years. Check them out but be careful about fees. Even though they’re holding your money, many charge you a pretty steep monthly fee (even $4.95/mo is steep to me), a “transaction fee” which covers the MC/Visa charge (which would be illegal if the merchant himself charged it to you), and fees for pretty much any interaction with the card issuer, even checking to see how much money you have left.
The price is too high, you have to tie up the funds up front, and, last and not least, the brand affinity is putrid.
As an alternative, you might consider, for example, the Fidelity Rewards American Express® Card. No fee and 2% back on all purchases.