Walmart claims to be rolling back prices constantly. One item they are really rolling back costs on is prepaid debit cards, specifically Bluebird, the Walmart American Express prepaid debit card. It carries no monthly fee, minimum balance, is affordable to get and appears to be one of the very best prepaid debit cards one can get. Source for this article: discover much more

Unbanked use the card

Most retailers offer some sort of prepaid debit card to consumers, but a new one could become a new bank for the unbanked. It is manufactured by American Express, which already produces a ton of prepaid cards for other financial service players. American Express teamed up with Walmart to create the Bluebird card though.

Bloomberg explained that there are other things the Walmart American Express card has that other prepaid cards do not have. For example, it accepts direct deposits, allows you to remotely deposit checks with a picture and helps consumers get automatic bill pay.

There is not a minimum balance requirement and there aren't any monthly or yearly fees and costs only $5 to buy.

Pleases many

The Walmart American Express card, just like other prepaid debit cards, is great for people that need bank or bank-like services but can't afford the charges charged by a traditional bank. Prepaid debit cards theoretically are bank accounts, since the account tied to the card is hosted by a bank, in this case one of American Express financial institutions.

If somebody wants cash off the card from an ATM, according to Forbes, it will cost them a $2 ATM charge no matter what ATM is getting used. An individual who uses direct deposit will not have to pay that fee though.

Bluebird card holders will not have to be concerned about credit checks before they get the card and it can be loaded with cash at any location with a third party charge or at Walmart for free, according to the American Express site. The car does have some fraud protection too, according to the Washington Post.

There aren't any charges for direct deposits or bank transfers to the card. Some online banking functions are also available through American Express' website.

All checking functions

Bluebird does not come with any fee, unlike the other popular Walmart debit card called Green Dot that has a $3 monthly fee. It is good for people because it gives all checking functions without charges, which makes it very popular.

The FDIC does not guard the card, according to Forbes, and it does not allow you to write checks to anyone. These are all drawbacks. It is still a fantastic alternative for those who do not want to have to deal with a bank or a bank account.

Sources:
Bloomberg
Forbes
Washington Post

This is a good example of why kids should be taught how to manage and be responsible with money, so they never have to use things like this.

tinaz said:

^^ thats what I was thinking... Why cant they just open a bank account? I see long lines of people at walmart for the check cashing... Why dont they have bank accounts??

Canadians use debit as a way to pay for purchases almost exclusively but I've never heard of pre-paid debit cards.