• Approval is very easy and you will not be subjected to any kind of credit or background check from other credit card servicers.

• Unlike other credit reloading cards, direct deposits on Capital One collect no fees.

• The card is equipped with security protections to guard your account from hackers and identity thieves.

It used to be that the hidden costs of prepaid credit cards drive away consumers who expected all the advantages of no interest and finance charges but balked at the accruing payments on deposits, fund transfer and the monthly fees. That may be a fairly accurate statement back when prepaid cards were a still novelty but now, with more banks offering prepaid credit cards, competition prompts servicers to cut on the hidden charges. Capital One Reloadable Prepaid MasterCard is a perfect example of a versatile plastic that doesn't come with a lot of excess baggage. It's ideal for people with poor credit standing who want to reverse their situation and control their spending. After all, in prepaid credit cards, you can't take out what you didn't put in.

To be clear, the hidden costs can also apply to ordinary credit cards and because people don't usually read the fine print, they find themselves in bigger debt after the finance, interest and penalties add up when they miss the due date. 

Capital One Reloadable Prepaid MasterCard spells convenience when making a purchase. Others may be put off by the need to “reload” or deposit money in order to make a purchase, but there are always pros and cons to every equation. For one, it lessens the risks as opposed to lugging large amounts of money around when you plan to spend, particularly during travels. It works much like a debit card but the one advantage is, it has more reach as far as acceptability to shops as concerned and it promises lesser cost compared to bringing a check, for example. 

There are two ways to deposit money on your account, either at Western Union branches across the United States or have your employer deposit your salary directly into your card. If you change employment, simply ask your new employer to do the same. You can load as much as $950 per day and allowed up to 10 loads each month or $7,500 by direct deposit. One drawback, however, is the $500 cap you can withdraw from ATM machines per day, although you can make purchases to as much as $2,000 per day.

Compared to other servicers, you are not required to pay an opening and application fee, and although there's you need to fork $4.95 as a set-up fee, the amount will be reimbursed after you make your first direct deposit within two months after your card is activated. You also don't have to pay everytime you deposit on your card. Now for the payments: Capital One collects $2.00 for every ATM withdrawal, a $1.00 cash reload fee of and another charge set by the retailer (The amount does not exceed $6.00), or another $1.95 if you want your transaction history mailed each month. Reloadable card holders also pay an annual fee of $4.95 aside from the $4.95 monthly maintenance fee. Also, purchases made overseas are charged 1% of the total transaction fee.

The above paragraph seemed like it's going to be very expensive maintaining the card when the servicer is not really taking as big a risk compared to ordinary credit cards. But a quick comparison with checks gives a clear idea of how much you really save: if you encash checks for under $750 you have to pay $28.50 service charge assuming the usual 1.9% percentage collection fee. Compared that with a direct deposit under Capital One's prepaid card where there's zero fee.

It just goes to show that a reloadable credit card is not for everybody. So here is the summary of a Capital One Reloadable Prepaid MasterCard user: one who loves the convenience of a debit card, adamant of the security functions of his or her account, and one who is conscious about his or her spending habits. And because it is prepaid, you don't have to open a banking account in order to qualify and you don't need to worry about fluctuating annual percentage rates anymore. Simply put, the card is only as good as the money you put in it.

If you rely on your credit card to pay your bills. A rundown of charges—such as paying the power, phone and water bills and the monthly rents—will amount to over $30 a month. That will only redound to $8.00 under  Capital One Reloadable Prepaid MasterCard. If you are a wanderlust, you can use your reloadable credit card to rent a car provided the available balance is 15% above the authorized security deposit amount. 

There are several features that distinguish Capital One Reloadable Prepaid MasterCard from other prepaid plastics. With its Control key, you can keep track of your card balance and amount spent through text or email alerts so no more embarrasing experience at the counter where the cashier tells you that your card has no more funds. Its insurance feature also allows you a refund if your card is lost or stolen while its security options help prevent fraud and identity theft. For added convenience, you can also pay your bills online or automatically transfer your salary into your card.