Where to Buy a Prepaid Credit Card

You can buy prepaid cards at most major retailers, banks, and online

Prepaid cards are sold in three main places: grocery stores and drugstores (like Walmart, Target, CVS, and Walgreens), banks and credit unions, and online through card issuers' websites. The card you buy depends on what you need it for — some work like regular credit cards, some are designed for specific purposes like payroll or government benefits, and some are reloadable general-purpose cards you can use anywhere.

The physical card itself usually costs between $0 and $10 at the point of sale, though some cards charge nothing upfront. What matters more is what happens after: monthly fees, reload fees, ATM fees, and transaction fees vary widely. Before you buy, you need to know which fees apply to how you plan to use the card.

Key Takeaways

• Prepaid cards sold at retail stores are usually general-purpose cards you can reload and use anywhere, while bank-issued prepaid cards often have lower fees but require an account.
• The purchase price of the card itself ($0 to $10) is often smaller than the monthly maintenance fees and transaction fees you will pay over time.
• Payroll cards and government benefits cards (like unemployment or tax refund cards) are issued directly by employers or government agencies, not bought at a store.
• Online prepaid card issuers let you open an account and fund the card digitally, which can be faster than buying a physical card at a store.
• Read the fee schedule before you buy — some cards charge for every ATM withdrawal, some charge monthly even if you do not use the card, and some charge to reload.

Retail stores: the fastest way to get a card today

If you need a prepaid card right now, a drugstore or supermarket is your quickest option. Walmart, Target, CVS, Walgreens, and most grocery chains stock prepaid cards near the checkout or in the financial services section. You pick up the card, pay the activation fee (usually $0 to $10), and the card is ready to use immediately or within a few minutes after you activate it by phone or online.

These retail prepaid cards are general-purpose reloadable cards — you can use them anywhere a regular credit card is accepted, and you can add money to them repeatedly. Common brands include Green Dot, NetSpend, and Vanilla. The downside is that retail cards often have higher monthly fees (sometimes $5 to $10 per month) and charge extra for things like ATM withdrawals or customer service calls. If you plan to use the card only once or twice, you might pay more in fees than the card is worth.

Banks and credit unions: lower fees if you have an account

If you already have a checking or savings account at a bank or credit union, ask whether they offer prepaid cards. Many do, and they typically charge lower fees than retail cards because the bank already knows you. Some banks offer prepaid cards with no monthly fee at all, especially if you set up direct deposit or maintain a minimum balance.

To get a prepaid card from your bank, you usually visit a branch or apply online through your account. The card arrives by mail in a few days, or you may be able to pick one up at a branch the same day. This route works well if you want to avoid the high fees of retail prepaid cards, but it requires you to already have a relationship with the bank.

Online prepaid card issuers: no store visit needed

Several companies let you open a prepaid card account entirely online and fund it through a bank transfer or debit card. Issuers like Chime, LendingClub, and others offer prepaid cards (sometimes called debit cards or spending accounts) that you can set up in minutes. You download an app or visit their website, provide your name and address, and the card is either mailed to you or you can use a temporary digital card right away.

Online prepaid cards often have competitive fees because they do not have the overhead of physical retail locations. Some charge no monthly fee, no ATM fees, or no reload fees — though each issuer's fee structure is different. The trade-off is that you cannot walk out of a store with a physical card the same day; you have to wait for it to arrive by mail or use a digital version in the meantime.

Payroll cards and government benefits cards: issued directly, not purchased

If your employer offers a payroll card or you receive government benefits (unemployment, tax refunds, stimulus payments), you do not buy these cards at a store. Your employer or the government agency sends them to you automatically. Payroll cards let your employer deposit your wages directly onto the card instead of writing a check. Government benefits cards work the same way — the money appears on the card automatically when you are due to receive it.

You cannot choose these cards the way you choose a retail prepaid card, but you can usually decline them and ask for a different payment method (like direct deposit to your bank account). If you do receive one, read the fee schedule carefully — some payroll and benefits cards charge fees for every transaction, which can add up quickly if you use the card often.

What to compare before you buy

The card's purchase price is only the beginning. Before you hand over money, look up the card's fee schedule online or ask the cashier for a brochure. Here are the fees that matter most:

• Monthly maintenance fee: Some cards charge $5 to $10 per month just to keep the account open, even if you do not use the card. Others charge nothing.
• Reload fee: Adding money to the card might cost $1 to $3 per reload, or it might be free. If you reload often, this adds up.
• ATM withdrawal fee: Using an out-of-network ATM can cost $1 to $3 per withdrawal. Some cards offer free withdrawals at certain ATM networks.
• Transaction fees: A few prepaid cards charge a small fee for every purchase, though this is less common now.
• Inactivity fee: If you do not use the card for several months, some issuers charge a fee or close the account.

Compare these fees across a few cards before you buy. A card with no monthly fee but a $2 ATM fee might be cheaper than a card with a $5 monthly fee but free ATM withdrawals — it depends on how you plan to use it.

How to activate and fund your card

Once you buy the card, activation is usually quick. Most retail prepaid cards can be activated by phone (calling the number on the back) or online through the issuer's website. You provide your name, address, and the card number, and the card is live within minutes.

To add money to the card, you can usually choose from several methods: direct deposit from your employer or bank account, bank transfer, debit card, or cash reload at a retail location. Some cards let you reload at the same store where you bought it. Check which reload methods are free and which charge a fee — this matters if you plan to add money frequently.

Frequently Asked Questions

Can I use a prepaid card to build credit?

No. Prepaid cards do not report to credit bureaus, so using one does not build your credit score. If you want to build credit, you need a credit card or a credit-builder loan. Some prepaid card issuers offer credit cards or credit-building products separately, but the prepaid card itself will not help your credit.

What happens if I lose my prepaid card?

Contact the card issuer immediately — the number is usually on your receipt or the card's website. Most issuers will freeze the card to prevent fraud and send you a replacement. Any money on the card is usually protected, though the process can take a few days. Keep your receipt and the card's customer service number in a safe place.

Can I use a prepaid card for online shopping?

Yes, prepaid cards work like regular credit cards for online purchases. You enter the card number, expiration date, and CVV just as you would with a credit card. Some online retailers may decline prepaid cards, but most accept them. Make sure the card has enough balance before you check out.

Do I need a Social Security number to buy a prepaid card?

Most retail prepaid cards do not require a Social Security number at the point of sale — you can buy one with just a photo ID. However, when you activate the card, the issuer will ask for your Social Security number for verification. If you do not have one, some issuers offer cards for non-citizens, though options are limited.

What is the difference between a prepaid card and a debit card?

A debit card is linked to your bank account and draws money directly from it. A prepaid card is a separate account that you load with money in advance. Prepaid cards do not require a bank account, which makes them useful if you do not have one. However, prepaid cards usually charge more fees than debit cards.