Pre-paid credit card use likely to rise

THE WORLD’S first disposable credit card has proven a success in this country, with nine out of 10 users planning to buy more of them.

The 3V card, which was launched by an Irish company six months ago, can be used as pre-paid card - this means that customers don’t risk running up massive credit card bills.

Credit card debt in this country has been growing steadily in recent years, with the Central Bank estimating at the end of last year that the country owed €2.09 billion on cards.

A European Commission report also found consumers are being ripped off by companies which are charging exorbitant fees for credit and debit cards.

Research shows plane flights and CDs are the most popular items bought with 3V vouchers.

Just over half of the 35,000 3V users across Ireland don’t have a traditional credit card and 64% of these people don’t intend to get one, market research completed by the company shows.

It found 93% of users said they would use the 3V card again. After flights and CDs, clothes, holidays and books with the next most popular items bought with the card.

There were varying reasons for choosing the disposable card over the permanent version.

A company spokesman explained: “14% said they used it because they were worried about giving out personal finance details on the internet, while 24% said they just thought it was a good idea. A further 19% said it was easy to use and 9% said they can’t get a credit card.”

The 3V card does not require credit cheques or bank references to be purchased as it is paid for up-front.

The 3V card was created by Irish company 3VTransactions Services and works in partnership with Permanent tsb bank and VISA.

3V Vouchers

93% of disposable credit card users plan to buy more disposable credit cards in the future

Flights and CDs prove most popular purchases with 3V Vouchers

52% of users don’t have a (traditional) credit card

64% don’t plan to get a traditional credit card

23% of users paid for flights with their 3V card.

22% of 3V users bought CDs

15% paid for clothes with their card.

15% paid for holidays

14% of 3V users bought books.