Pre-paid cash card

What is a pre-paid cash card?

When you open a prepaid credit card account by depositing money into that account, it is the same as how you would make a deposit to open a checking or savings account. Once you have money in your account, you're issued a prepaid credit card that can be used anywhere one would use a regular credit card. The best part of the prepaid credit card is that you can charge to your heart's content and you won't be in debt. The money is yours and once it's gone, you can't spend any more until you make another deposit. There are no bills and no interest charges. It's the same principle as using a debit card linked to a savings or checking account.

More information on pre-paid cash card:
1)Prepaid Credit Card Guide
http://www.prepaidcardguide.com/
2)wisegeek
http://www.wisegeek.com/what-are-prepaid-credit-cards.htm

Cool. But seriously i don't need something like this. Why? Maybe because i rarely spend on anything unless i really need to or have to. Shopping is something i hate, i don't like the idea of spending my time looking around and buying stuffs. I prefer buy the stuffs i want and get as fast as i can back home. That's for me though. For consumers, i think this a very good way for them to manage their spending and its very convenient too.

Here are examples of pre-paid cash that are being in use now.

In Malaysia, there is the touch-n-go card. It is a card where you reload money into it and use for various purpose. Well most people use it to pay toll charges beside that i haven't seen anyone use it for anything. Heh, such as waste using a card with many potential. Well it is announced that the services of the touch-n-go is going to expand to the retail and the fast food industry.

For more information: My E-Commerce http://ecommerze.blogspot.com/2008/04/using-touch-n-go-card-to-buy-fast-food.html

Touch-n-go in my opinion is not a very good product as not many people are using due to the fact that it has limited services and the new services being introduced are old stories compare to other countries in the region. Take a look at Hong Kong and it's octopus card.

Being a pre-paid cash cash as Touch-n-go, it has a faster developement where from just for transportation it expanded to various usage including what touch-n-go is going to implement now. It circulation is around 10million more than the island population itself. Touch-n-go seems inferior to it.
For more information on the octupus card:
1)Hong Kong Travel
http://www.hong-kong-travel.org/Octopus.asp

Mobile Payment Systems in Malaysia.

Nowadays people living in an environment characterised by rising prices. Therefore there is the need to adjust and adapt to these new conditions through the adoption of a more expedient and efficient means of payment to reduce costs. Function and responsibility of the Central Bank is to promote the development of safe and efficient payment systems. Any inability to make payments in an economy would have a far reaching and widespread impact on society.

As the electronic payment channels become more easily accessible. It would thus provide the opportunity to shift the remittance flows from the informal to formal channels. Indeed, electronic payment increases operational efficiency and improves productivity levels through expedient payments and receipts of funds; provide the speed and convenience of making payments from any place or time. Accelerating the country's migration to electronic payments has therefore become a part of Malaysia's larger national agenda to increase the efficiency of the nation's payment systems which would ultimately improve the competitiveness of our economy.

Credit cards, ATM cards, debit cards including the e-purse application embedded in the MyKad are among the card payments possibilities in Malaysia. The increased use of cards is an international trend and is expected to gain significance in Malaysia. Giro transfers, other credit transfers and direct debit are also gaining significance by both individuals and businesses. Finally, Internet banking has also begun to experience stronger growth. However, in 2006, Malaysian consumers on average made only 0.7 transaction via direct debit and credit transfer and 0.2 transaction via debit card transaction as compared to 84.7 and 109.5 transactions. In this regard, the Bank has formulated an Electronic Payments Roadmap aimed at bringing together relevant stakeholders to address the barriers that have impeded the increased adoption of electronic payment in a comprehensive and strategic manner.

1. Payment infrastructure. The infrastructure for making payments would need to be widened and enhanced to provide the convenient access to electronic payments. In addition, solutions need to be developed to enable users to integrate easily with the payment offerings.
2. The product range. The range of services would need to be expanded to cater for the different payment needs of consumers and business sectors.
3. The pricing framework. The formulation of a transparent and cost-effective pricing framework is important to provide the incentive structure that would spur the adoption of electronic means of payments.
4. Consumer awareness. Programmes need to be implemented to inculcate the behavioral change among consumers. There needs to be trust and confidence in the electronic payment systems.
5. The standards. The setting of common standards to address the interoperability of systems including standardising the payment messaging format is vital to the wider acceptance of electronic payment.
6. Ensure the security and integrity of the payment system which requires the supporting regulatory and legal framework to be in place.

Potential of mobile phones to make the transformation

Maxis announced that it is currently trialling a mobile phone multi-payment service incorporating credit card and prepaid transit payments with Maybank, Visa International and Touch 'n Go. Maxis 'touch to pay' employs Near Field Communications ("NFC") technology which leverages on a short-range wireless connectivity standard embedded in mobile phones. This 'touch to pay' trial reflects Maxis' commitment to lead in mobile payment services. This technology, currently available on Nokia 6131 NFC, allow users to touch their handsets against contactless payment readers to make a purchase. Transforming the use of mobile phones into a conduit for swift, cashless payments using the one accessory people are going to carry around with them above others.

Mobile phones become the electronic devices offence catch on hands of most Malaysians. Given the significant pay-offs from the low cost technologies in accelerating the adoption of electronic payment. Mobile phone is identified as one of the delivery channels that should be leveraged on. Indeed, payments via text messaging has the potential to grow in importance. The high percentage of mobile phone subscriber and the high rate of participation of the population in the banking system are important pre-conditions for the significant use of the mobile phone as an ideal platform for personal payments. Indeed, the large mobile subscriber base and the positive transformational effects of mobile banking and payments offer a unique opportunity to open up the financial system to more customers and communities in order to achieve financial inclusion for all segments of our society.

It is important to identify the gaps in the service offerings, and plan the way ahead for Malaysia to make the quantum leap in e-payment adoption. Market participants need to address the mismatch between what consumers expect and what is being offered. Openness and inter-connectivity are also critical in the mobile banking and payment initiatives. Exclusive and proprietary services where the target market is limited to the customer base of individual mobile operators or individual banks will not allow for the potential to be realised. Any lack of interoperability across mobile operators and across banks will not achieve the required critical mass and will also result in high transaction cost for consumers.

Electronic Currency

Electronic currency (E-currency) which is also knows as e-money, electronic cash, electronic money, digital money, digital cash or digital currency. It refers to money which is exchanged only electronically through internet. Example of e-currency is Electronic Funds Transfer (EFT) and direct deposit.

E-currency is widely used in the internet as the medium of internet related commercial actions. The e-currency being used on the internet related commercial applications such as shopping on the internet and doing personal investment via internet. The using of the e-currency services allows people not to use their credit card as the only payment method on the internet since sometime there exists a big risk to provide your credit card information to the merchant you do not know them very well and most of them are far away in the other side of the earth. The e-currency service companies such as e-gold, paypal and EMO can provide both the buyers and merchant the convenient way to send and receive the payment just by clicking the button and the deal is done. None of the payment methods in the world right now can provide this kind of efficiency capability.

One rare success has been Hong Kong's Octopus card system, which started as a transit payment system and has grown into a widely used electronic currency system. Singapore also has an electronic money implementation for its public transportation system such as commuter trains, bus, and so on which is very similar to Hong Kong's Octopus card and based on the same type of card (FeliCa). A very successful implementation of e-currency is in the Netherlands, known as Chipknip.

There are types of e-currency in the world, which the major different is based on backed base.

1. backed by precious metal such as e-gold, which is a digital gold currency operated by Gold & Silver Reserve Inc., is backed by gold.

2. backed by hard currency like Paypal, which It serves as an electronic alternative to traditional paper methods such as cheques and money orders.
3. backed by non-gold backed, or both gold and non-gold backed like e-Bullion and Liberty Reserve.

E-currency can help people make a lot of money with small amount of time that it practically runs on autopilot. And here are some simple steps to Electronic Currency Success, which available at www.dxingold.com

1. Open up an E-Currency account on the global network and set up your portfolio.
2. Fund your E-Currency portfolio.
3. Choose the correct currencies to trade from the global E-Currency network.
4. Set your portfolio to pay the premiums from your E-Currency selections to ensure continuous operation. (When set properly, it is impossible to lose money.)
5. Re-Invest or withdraw the gains from your portfolio.
6. Qualify for your Merchant Console.
7. Operate your Console to process exchanges. (Bring in even more revenue into your account)
8. Continue to grow your portfolio by accumulating global E-Currency symbols within your account. (These pay out daily dividends)

Credit Card debts: Causes and Prevention

Visa - Master Credit card





I have came across several types of credit card such as gold-master, visa(titanum, classic, gold). Some people might used credit card for immediate installment such as car loan and housing loan. There are few causes and prevention of credit card debts in our daily life.

Causes of Credit Card Debts:

a) Decrease in income - Some groups of people would be bought expensive items when their income reduce. They are leading the debts accumulated until payment has been paid. They are encourage to adjust the debts quickly and get it better.

b) Poor Money Management - Planning your budget is very important as you might not knew where your money spent. It happened mostly for women who like bought expensive things such as branded cosmetics. They might not realised thousand of ringgit had been spent monthly. When monthly statement delivered they only discover that they are over spent and it is too late. The sum that accumulated month by month due to payment due and interest has been charged. There must be a proper spending plan to avoid over budget and money gone.

c) No saving cushion - An easy way to avoid unwanted debts is to prepare for unexpected expenditure by saving living expenses as much as possible. In case one day you are divorce, job layoff, illness and you have money to cover your expenses. It might not caused you financial strain as the debts is increasing by spending too much. Everyone should be saving money and you might need to used it in any emergency matters.

Many people put on emergency bills such as car installment, housing loan and so on. It is because human beings would be faced with a rising cost which is trap them. There are few prevention on credit card debts.

Prevention of Credit Card Debts:

a) Photocopy Bank Offer include Interest and Terms - You might want to write a letter to a credit card company stated you would like swtich competition. As that financial institutions offer a reasonable interest rate and you prefer to be their valued customer. They do not want to lose their business and approved you to get a credit card at once. In fact, they would matched your need and even offer you a lower interest rate.

b) Double Minimum Payment - People would paid extra amount due when they are afford to do so. The balance you paid more the debts is no longer so much that needed to be paid in longer time. You should be noticed that interest charged when longer time taken to make payment. It would be end up with the principal plus an interest charged and you might get panic when deal with huge amount outstanding.

c) Cut Up Credit Card - Many people have been close their credit card account when they are awared that they are unable to pay anymore. They are just stick to one credit card rather than 2 or 3 credit cards. The reason is they do not want to be debtors that owing money to the financial institutions.