Private medical companies are known as “prepaid”
Although the idea of prepaid does not appear in the dictionary of the Royal Spanish Academy ( RAE ), it is possible to understand its meaning by analyzing the terms that make it up: the prefix pre- and the noun pay .
Something paid in advance
Pre- , in this framework, refers to a priority that can be temporal, spatial, etc. Paga , on the other hand, is the act of paying (delivering a sum that is owed) or the amount of money given as payment.
The notion of prepaid, therefore, refers to paying for something before its use or acquisition. There is a temporal distance between the financial outlay and the use or usufruct of the product or service.
Private medical companies
Prepaid is usually used to name private companies dedicated to offering medical services . A prepaid company, in this framework, is a company that has a list of professionals and service centers that its subscribers, by paying a monthly fee, can use when they need it.
Prepaid, in short, provide medical care to their members , who are obliged to pay a certain amount as a fee . The affiliate or client must pay every month, regardless of whether or not they use the services: that is, they pay first and then use.
prepaid card
A prepaid card , also called a prepaid card or prepaid card , is one that works with a load of money and from then on allows operations to be carried out until that balance is consumed. The subject has to make the charge first and only then has an amount or credit to spend.
Unlike the debit card , which is linked to a bank account and takes funds from it even if there is a risk of leaving it in the red, the prepaid card limits purchases to the current balance. It should be noted that banks offer different services to prevent an account from running out of balance, but it is not always so easy to activate them nor are they so obvious to customers. The prepaid has a more basic system, something that also affects the possibilities it offers to its holder.
Advantages and disadvantages of the prepaid card
What we mentioned above can be interpreted as one of the advantages of this card, since it reduces the chances of spending more money than we have . This can help us control our purchases, become more responsible and less impulsive every time the market surprises us with a product or service that tempts us. The impossibility of buying without thinking is especially appreciated at Christmas, VAT-free days and other annual occasions characterized by massive discounts and offers.
Beyond economic control, the prepaid card can also be very convenient thanks to its virtual version, that is, it exists as part of a computer system and does not require printing on plastic. This alternative may be more secure, since it is impossible to steal; There are even single-use versions, something even more practical.
The prepaid card is ideal for controlling expenses
Regarding its disadvantages, we can start by talking about the commissions. This point depends exclusively on the bank in which we request it, and is usually applied as a requirement when making a recharge . Although the amount is never considerable, we must take it into account because it will always slightly increase our expenses .
Prepaid cards are also not suitable for purchases with recurring payments, something very common in this era of subscriptions. The reason for this limitation is that the issuing entity cannot guarantee the presence of a balance in the account to meet said payments. Finally we can mention its useful life , which is usually shorter than other types of cards.