Understanding Prepaid Debit Cards

David dislikes carrying cash and opts for a prepaid debit card instead of a bank account or credit card. He chooses a card endorsed by his favorite singer and loads $200 onto it. However, he is surprised by numerous fees that reduce his spending power to $157. After researching, David switches to a prepaid card with lower fees, leading to greater satisfaction.

Why did David choose a prepaid debit card?

• He wanted to avoid online shopping.

• He wanted to avoid using a bank account or credit card.

• He wanted to earn interest on his money.

• He wanted to carry more cash.

What was one of the fees David was unaware of when using his prepaid card?

• A fee for loading more than $500.

• A fee for online purchases.

• A fee for checking his balance.

• A fee for using the card at a restaurant.

How much did David actually get to spend from his initial $200 after fees?

• $157

• $180

• $150

• $190

What action did David take after realizing the high fees on his prepaid card?

• He switched to a prepaid card with lower fees.

• He decided to use cash only.

• He opened a bank account.

• He stopped using prepaid cards altogether.

What was the outcome for David after switching to a new prepaid card?

• He faced even higher fees.

• He was unable to use the card.

• He was much happier with the new card.

• He lost all his money.