The application of pre-paid card for consumers

A prepaid cash card is a payment card that similar with credit card or debit card. It gives users the ability to purchase goods without paying by cash. It different with credit card or debit card, it contains a concept of “pay now, spend later”. It means users must firstly load money onto the card then only spend it when make a purchase.

There are some popular prepaid cash card frequently being used, such as in Malaysia -Touch n Go, Singapore - ez-link card and Hong Kong - Octopus Card. Touch n Go is an electronic purse that can be used at all highways in Malaysia, major public transports in Klang Valley, selected parking sites and theme park.

The benefit of using Touch ‘n Go are increasing the speed of paying, eliminating debt risk which it has no credit or overdraft facility. It ensuring users won’t overspend and prevent users using “future money”. Moreover, it provides users a convenient way to pay transportation fees. By just load on money to the card and simply scan it to a machine for passing road tolls or paying LRT fees without long wait in queue at the cash lane. And it can protect our personal safety from carrying cash in hand.

The balance of the Touch ‘n Go can be reload at toll plazas, train stations, Automated Teller Machines(ATM), Cash Deposit Machines, Petrol kiosks and at authorized third party outlets.

Electronic currency

As many people buy books, CDs, and other products and services over the Internet every day, there appears a growing demand for e-micropayment technologies that enable the purchase of items and services such as MP3 music files, magazine and newspaper articles, Web-based comics, and other products.

PayLoadz's PayLoadz.com system is one of the e-micropayment products. PayLoadz, Inc. was founded in 1996 as a web development company. It is a long standing leader in the digital content and delivery sector. The privately-held company has over 60,000 registered users selling over 280,000 downloadable goods. PayLoadz is a service that sell intangible products such as softwares, e-books, digital art, manuals, articles and anything else that can be downloaded, it also manages the transactions through eBay and provides the server space to store the files.

PayLoadz operates using PayPal's online payment system and Google Checkout. PayLoadz offers two types of pricing, one is a flat monthly fee that is based on the size of sellers’ files, and another one is a fee that is a percentage of sellers’ sales, typically 15 percent. PayLoadz is a member of the PayPal Developer Advisory Board and is often a featured speaker at PayPal developer conferences. One requirement to use PayLoadz is that sellers need to have a Paypal Merchant Account which they can register themselves anytime for free. It is simple for anyone to use and works seamlessly with their PayPal account to enable them to offer digital goods available for sale from their web site or online auctions.

There are various benefits through using PayLoadz. It offers free trial for first month on all premium and corporate accounts, it also secure file storage on its servers. Besides that, it automatically deliver the sellers’ digital goods immediately after payment and sell the sellers’ products anywhere online which can at the sellers’ own site, PayLoadz Store, eBay and more.

In brief, PayLoadz is a powerful e-commerce service and it is definitely worth considering for company selling downloadable digital files.

Credit Card Debts: Causes and Prevention

Credit card debt is an example of unsecured consumer debt. It results when a client of a credit card company purchase an item or service through the card system. The debt will accumulates and increase via interest and certain penalties will be imposed when the consumers do not pay the company for the money he/she has spent.

We can found that there are certain factors will due to credit card debt . There are as following :

1) For the average individual struggling with credit card debt, the problem begins because they have not created a realistic budget . They often expense over the figure that they can afford.
2) Bank and other credit card issuers will justify big market budgets to get the client money since the credit card interest rate are high and will result a high profit.
3) It is very easy to get multiple credit cards .And, the issuer will take into account the risk factors when setting interest rate. That’s why the interest rate is high .
4) The people around them all probably have multiple credit cards and flash them from time to time, this will influence their own attitude to credit card debt.
5) Immediate gratification that is ‘have now, pay later’ will lead to a person loss their common sense.
6) Spend in the area that they are not needed. For example, when see other people buy furniture or go on exotic vacation all the time , they may want the same even though do not have immediate cash.

Since overburdened with credit card debt can undoubtedly cause both worry and stress not just for the debtor but their immediate families too, therefore we should prevent it to happened. It cannot be denied that setting up budget is the first step that should be taken. Follow by setting a saving goal such as vacation or car. Reward program which do not compromise our finance is the best motivators. Another method for prevention is teaching our youngest generation all about money before they even qualify for a credit card. This is because the earlier the children learn how to mange finances, the less likely they will be to fall into credit card and debt problems as an adult. Further prevention can be avoid extra expenses, get the right card which is no or lower interest rate, and use the cash not credit if you can.

As a conclusion, avoid credit card debt will be a cash convert for the rest of your affluent life.

Mobile payment system in Malaysia

Nowadays, mobile phone function not merely can contact people, now you can make a payment through the mobile phone. Recent technology development has also driven the use of mobile commerce technology. Mobile commerce is another form of payment but it has ability to embrace new ideas concerning digital money as mobile device have grown to become an essential personal needs.

What is mobile payment system? Mobile payment system is a system that allows the shopper uses a mobile device to conduct a payment transaction coupled with a 6 digit security PIN via SMS. This PIN based mobile payment solution designed by Mobile Money International Sdn Bhd to address the limitations and bottlenecks created by cash, cheques, and credits cards. It unlocks the power of the mobile phone to make payments, allowing registered user to pay for goods and services at anytime and anywhere.

In Malaysia, with 25 million mobile phone subscribers, therefore there are immense opportunities to leverage on mobile phones to accelerate the migration to electronic payment. The higher the number of mobile phone subscribers, the higher rate of participation of the population in the banking system. With this favorable market condition, there are many mobile banking have been launched in recent years. However, by up to date information, there are only 1.8% mobile phone subscribers in Malaysia registered to the mobile baking and payment service. Therefore, there is a potentially lucrative market for mobile banking and payment services.

In summary, mobile payment system has bring benefits to the users, such as provided shopper with ubiquitous purchase possibilities, timely access to financial assets and an alternative to cash payment. Mobile payments are commonly increase consumer convenience by reducing the need for cash in small transactions and increasing the availability of purchase possibilities.