If you think prepaid credit cards are just for people who don’t qualify for credit cards, think again. Kalixa is a new type of company that provides safe and reliable payment methods for all types of people, regardless of their credit and financial situation.
Similar to Paypal, Kalixa combines the benefits of a credit card and an e-wallet and also provides an easy and convenient way of accepting payments online and on your mobile for small companies. The catch is Kalixa is currently only available to people in the UK, Germany and Italy. However, they will soon open in other regions, such as North and South America.
Advantages of Kalixa
Unlike some prepaid credit cards, you can use Kalixa worldwide, anywhere Master Card is accepted. Loading money on to it is also fast and easy from pretty much anywhere in the world.
Kalixa is not directly linked to your bank account or credit card, so the worst that can happen is you lose the funds you loaded onto it. Criminals will have no access to your bank account or line of credit if your card is stolen.
There are no foreign transaction fees or foreign exchange commissions to worry about, which is rare with prepaid cards.
Kalixa offers the best foreign currency exchange rates available. Instead of making a profit on the currency exchange rate, as most credit card companies do, Kalixa passes on its Interbank preferential exchange rate to its customers.
That alone can save you 3% on every transaction. For example, paying for a $500 purchase with Sterling pounds will cost you $17.55 more with Paypal than with Kalixa because there’s no mark-up on the exchange rate with Kalixa.
Disadvantages of Kalixa
Although you can use Kalixa’s prepaid card at over 1.2 million ATMs and practically any store with a telephone connection, people who live outside of Germany, Italy and the UK cannot get a Kalixa card yet.
Loading money on to a Kalixa prepaid card is easy and you can do it with cash, a credit card or a bank account. However, it takes 5 to 10 for your Kalixa card to arrive by mail from the time you finish the registration process. Once everything is set up, payments will be as fast as a normal credit card. But if you’re new to Kalixa and need to make an urgent payment, you will have to look elsewhere.
There is a one-time $11.52 fee for getting a Kalixa card, which is small change compared to most other prepaid cards. But it’s still more than what some credit cards charge to access your cash.
It’s not a credit card, so your credit rating will not improve by using it.
Who is Kalixa’s target user?
Kalixa is a good alternative to Paypal for anybody who wants a safe and convenient payment method accepted worldwide.
It’s particularly popular with travelers, because of its zero transaction fee, no exchange commissions and the excellent exchange rates it offers clients. The 3% savings on all purchases created by its preferential exchange rates is a nice change to the outrageous fees and commissions charged by many prepaid cards.
Want to take a look at other money transfer services option? Check out our reviews page to find the right money transfer services for your needs.