Prepaid cards are sold at retailers, banks, and online — but the cost and features vary widely

You can buy a prepaid card at a drugstore, grocery store, Walmart, Target, or online from the card issuer directly. The most common retail locations are CVS, Walgreens, Walmart, and Target — you'll find them near the gift cards at checkout. You can also order them online from issuers like NetSpend, Chime, Serve, or GoBank, or from your own bank if it offers a prepaid option. The card itself costs between $0 and $10 depending on where you buy it, but the real cost comes from monthly fees, ATM fees, and transaction limits that vary by card.

The reason to know where to buy matters: a card that costs $5 at Walmart might cost $10 online, and a card with no monthly fee at one retailer might charge $5.95 at another. The same issuer sometimes prices the card differently depending on where you purchase it. Before you hand over money, you need to know what fees you'll actually pay once the card is in your wallet.

Key Takeaways

  • Prepaid cards sold at retail locations (CVS, Walgreens, Walmart, Target) cost $0 to $10 upfront, but monthly maintenance fees range from $0 to $9.95 depending on the card.
  • Bank-issued prepaid cards and online-only options sometimes have lower or no monthly fees, but require you to set up an account before you can use the card.
  • Every prepaid card charges for out-of-network ATM withdrawals, and many charge per transaction or per month if you don't meet a minimum deposit — read the fee schedule before buying.
  • Retail prepaid cards set up when ready at checkout, while bank and online cards may take one to three business days to become active.
  • Prepaid cards do not build credit history, so they won't help your credit score even if you use them responsibly.

Retail locations: fastest set up, highest fees

Drugstores and supermarkets stock prepaid cards because they're quick money for the retailer and convenient for you — you walk out with a card that works in minutes. Cards sold at CVS, Walgreens, Walmart, and Target typically set up at the register or within an hour, and you can load money onto them when ready. The upfront card cost is usually $0 to $5 at these locations.

The catch is the monthly fee. Retail prepaid cards often charge $5.95 to $9.95 per month just to keep the account open, even if you don't use it. Some waive the fee if you deposit a certain amount each month (often $500 or more), but if you're using the card for occasional purchases or emergency cash, you'll pay that fee every month. Add in ATM fees of $2 to $3 per withdrawal outside the card's network, and a card that seemed cheap at the register becomes expensive fast.

Bank-issued prepaid cards: lower fees, slower setup

Your own bank may offer a prepaid card, or you can open an account with a bank that specializes in prepaid products like Chime, Serve, or NetSpend. These cards often have no monthly fee or charge only $0 to $2.95 per month. Some offer free ATM withdrawals at a network of thousands of ATMs, which saves money if you withdraw cash regularly.

The tradeoff is time. Bank-issued cards require you to open an account online or in person, verify your identity, and wait for the card to arrive by mail — usually one to three business days. You can't walk out of a store with it in your pocket. If you need cash today, a bank prepaid card won't work. But if you're planning ahead and use the card regularly, the lower fees often make it cheaper over a year than a retail card.

Online-only prepaid cards: lowest fees, most restrictions

Some prepaid card issuers sell only through their websites, not through stores. Cards from companies like Wise, Revolut, or Square Cash often have no monthly fee and lower ATM fees than retail cards. Some offer features like spending categories or savings tools that retail cards don't.

The limitation is that you need a bank account or debit card to fund them — you can't walk into a store and hand over cash. You also need a smartphone to set up the account and manage the card. If you don't have internet access or a bank account yet, an online-only card isn't an option. But if you do, the fee structure is usually the best deal available.

What fees to compare before you buy

Every prepaid card charges something, and the fees add up. Before you buy, find the fee schedule — usually printed on the back of the card package or on the issuer's website — and add up what you'll actually pay in a year based on how you plan to use it.

Monthly maintenance fee: Charged whether you use the card or not. Ranges from $0 to $9.95. Some cards waive it if you deposit $500+ per month or make a certain number of transactions.

ATM withdrawal fee: Charged every time you withdraw cash outside the card's network. Usually $2 to $3 per withdrawal. In-network ATMs are free, but the network size varies — Chime has thousands, some retail cards have very few.

Transaction fees: Some cards charge per purchase or per month if you don't meet a minimum number of transactions. Less common than they used to be, but still worth checking.

Overdraft or insufficient funds fee: Charged if you try to spend more than your balance. Usually $15 to $35. Some cards don't allow overdrafts at all.

Inactivity fee: Charged if you don't use the card for a set period (often 90 days). Usually $2 to $5 per month. Read the terms to see if this applies.

How to set up and load money onto a prepaid card

Retail cards set up at the register when you buy them. The cashier scans the card, you pay for it, and it's ready to use when ready or within an hour. You load money by going back to the same retailer and handing cash to a cashier, or by linking a bank account online and transferring funds.

Bank and online cards require you to set up an account first — usually through a website or app. You'll provide your name, address, Social Security number, and date of birth. Once the account is verified (which takes a few minutes to a few hours), you can load money by transferring from a bank account, having your paycheck deposited directly, or (with some cards) loading cash at a retail partner location.

The card itself arrives by mail within one to three business days. Until it arrives, you usually can't use it, even though your account is open. Some issuers offer a temporary digital card you can use online while you wait for the physical card.

Prepaid cards and credit history: they don't build credit

Using a prepaid card responsibly — paying on time, staying under your limit, keeping a low balance — does not build credit history. Prepaid cards are not credit products; they're spending accounts. The card issuer doesn't report your activity to credit bureaus, so your credit score won't move up or down based on how you use the card.

If you're trying to build or rebuild credit, a prepaid card is not the tool. A secured credit card (which requires a deposit but reports to credit bureaus) or a credit-builder loan will actually improve your score. A prepaid card is useful for budgeting, avoiding overdrafts, or spending money you don't have in a bank account — but not for credit.

Frequently Asked Questions

Can I use a prepaid card to withdraw cash at any ATM?

No. Every prepaid card has an ATM network where withdrawals are free (or low-cost), and charges $2 to $3 for withdrawals outside that network. Before you buy, check how many ATMs are in the network near your home or work. Chime and some bank cards have thousands; retail cards often have far fewer.

What happens if I lose a prepaid card?

Contact the issuer when ready — the number is on the back of the card or in your account online. Most issuers will freeze the card to stop fraudulent use, and many will replace it for free or a small fee. Money on the card is usually protected, but the process takes a few days. Keep your receipt or account number so you can prove you owned the card.

Can I reload a prepaid card multiple times?

Yes. You can add money to a prepaid card as many times as you want, up to the card's maximum balance (usually $10,000 to $25,000). You reload by transferring from a bank account, depositing cash at a retail partner, or having a paycheck deposited directly. There's no limit on how many times you reload, but each method may have its own fee.

Do I need a Social Security number to get a prepaid card?

Retail cards sold at checkout usually don't require a Social Security number — you just pay and go. Bank and online prepaid cards do require a Social Security number and date of birth for account verification. If you don't have a Social Security number, a retail prepaid card is your only option.

What's the difference between a prepaid card and a debit card?

A debit card is linked to a bank account and draws from money already there. A prepaid card is a standalone account — you load money onto it, and that's all you can spend. Prepaid cards don't require a bank account, but they usually charge more fees. Debit cards offer more fraud protection under federal law, while prepaid card protections vary by issuer.