E-Commercez: The application of pre-paid cash card for consumers

Nowadays pre-paid cash card is getting more and more popular in aligned with the development of e-commerce. Pre-paid cash card is a card like credit card which can use to purchase goods and services. Pre-paid means pay in advance which also means that the card needs to be reloaded with money before consumers can use it. They can only spend the balance that has been pre-loaded onto the card.

An example of the application of pre-paid cash card in our country is Touch n Go card. It is a quite popular card that uses contactless and smartcard technology. This is introduced in Malaysia to increase the efficiency of public transport service. With this card, consumers do not need to queue for buying tickets especially during peak hours which is really a waste of time. Besides that, it is applicable for all highways tolls users too. Positive feedbacks obtained after the implementation of Touch n Go card as it helps consumers to save up a lot of time as well as it is very convenient to use.

Another widely used pre-paid cash card is the debit card. It is usually issued by the debit card companies or banks. Consumers can use this card to purchase their goods and services either in malls or through online transactions. For internet banking, they are required to key-in their password, debit card number and the amount of money for the transaction to take place. When using it for shopping at supermarket, consumers just simply hand the card to the cashier and will be asked to sign on the payment slip. The total amount will be deducted from the card immediately and the transaction is completed by then. Moreover, i-Talk pre-paid IDD card is a service provided by Telekom Malaysia that allows people to make local or international calls at low rates.

As in other country, one of the most successful applications of this pre-paid cash card is the Octopus Card in Hong Kong which is like a trademark for all Hong Kong citizens. It was the first contactless smart card system in the world. At first, it aims to provide a simple and easy way to pay fares on public transport in Hong Kong. Today it is also used for payment in convenient stores, supermarkets and car parks. It makes life much simpler and easier.

Apart from that, pre-paid cash card also can use for paying bills, topping up mobile phone, purchasing movie tickets and withdrawing cash from ATM machine. On the other hand, the main advantages of pre-paid card include it is an ideal way to control your spending. There is no chance of over spending as consumers are limited to the amount they put on the card. Furthermore it is very convenient because the pre-paid cash card can be used abroad or travelling to overseas and it is always safer to bring along a card rather than cash.

To sum up, pre-paid cash card is indeed a very useful item and contribute a lot in our daily transaction. Most of the teenagers are having a pre-paid cash card now as they are not eligible to apply for a credit card. Nevertheless some consumers still prefer credit card in terms of security.