Global Prepaid Credit Card Market Was Estimated at $1.73 Trillion and Is Predicted to Reach $6.87 Trillion by The Year 2030 At A Growing CAGR of 18.2% From The Years 2021 To 2030

The prepaid transactions are transformed from paper vouchers to multi-purpose prepaid cards. Owing to liquidity issues, this trend of the card is predicted to persist in the forthcoming years.

Introduction-

The prepaid card is the same in look like debit and credit card along with a card number, signature, and brand field on the card. This card is issued by a financial organization and works like a credit card except that some amount of money requires to be balanced in the account. However, till the preloaded amount in the card gets over, the user can purchase items.

During the forecast period, the prepaid card market is expected to increase, owing to the comfort and benefits similar to that of credit and debit cards and users can set the limit according to their budget. They are known as everyday card as the user can carry money in terms of cards and use it every day.

Overview-

Currently, prepaid cards are the latest version of cash, cheques, and other payments. Whereas, different securities and payment issues are predicted to prevent the growth of the market. Due to the increase in popularity of prepaid cards in students and teenagers, these restrain are predicted to have a reduced impact in the future.

The prepaid card business is predicted to grow during the forecast period and the factors responsible for this growth of the prepaid card market involve, growth in the number of internet users, rise in demand for the cash alternative, increase in prepaid card users. However, growth in the population of underbanked and un-banked is predicted to boost the growth of the market in the forecast period.

Importance of Prepaid credit card market-

1) Less risk of overspending- As prepaid card limits spendings from exceeding the balance in the card. In this case, the amount is previously added to the account and the user can use the balance amount only.

2) Easy to reload and use- The prepaid card performs the same as credit and debit cards via, major card brand networks, users can reload their prepaid card in many ways like direct deposit, bank account transfer, and can be done online.

3) Safer than cash- Prepaid cards are easier to carry which makes it easier for users while traveling and reduces the risk of cash. If the card is lost or stolen, easy and fast registration can save the cardholder.

Market Size of Prepaid Credit Card Market-

In 2019, the global prepaid credit card market was estimated at $1.73 trillion and is predicted to reach $6.87 Trillion by the year 2030 at a growing CAGR of 18.2% from the years 2021 to 2030.

Segmentation of Market-

The segmentation of prepaid credit card market is segmented on the basis of types, applications, and regions.

Segmentation by types- Closed-loop card and Open-loop card

The open-loop prepaid credit card holds the highest shares in the market during the forecast period and is still growing.

Segmentation by Application- Retail, Corporate, Government, or public sector.

The retail sector will dominate the market throughout the forecast period that is 2019 to 2030.

Segmentation by Region- Europe, North America, Asia-Pacific, and LAMEA.

Asia-Pacific witness the highest growth rate during the forecast period due to the number of established applications.

Key Market Players of the Prepaid Credit Card Market-

• BBVA USA Bancshares, Inc.
• American Express Company
• Brink’s Incorporated
• H&R Block Inc.
• Green Dot Corporation
• Kaiku Financial, LLC
• JPMorgan Chase and Co.
• Mango Financial, Inc.
• PayPal Holdings, Inc.