Has anybody used the new post office charge-card?
I see the post office is offering a charge card. each card costs £10 to issue, then
there must be handling charges and exchange rate charges, so my question is if the card is any cheaper to operate than withdrawing cash on a credit card?
Answer
No, its not.
the point of the charge card is that provides a card facility to customers who cannot
get a credit card for various reasons.
its risk free for the post office, as the customer has to put money on the card before they can buy anything, so cannot
get into debt.
however, there are costs associated with various actions as you have
seen. with credit cards the card issuer makes money from the interest. with a pre paid card, as the customer is not borrowing money, theres no interest, so instead you get charged for different things like topping up, maybe small monthly fee etc
