A prepaid card is a form of payment that is accepted widely. The question is does Coinbase accept prepaid cards as a payment method for the crypto currency investments on their site?
Does Coinbase accept prepaid cards?
Coinbase does accept some prepaid cards as a payment method on their site, as long as they have a linked billing address. Visa and MasterCard cards are the only accepted prepaid cards on Coinbase. No other type of prepaid cards are accepted because Coinbase requires verifiable billing addresses linked to the cards.
In addition to Visa and MasterCard debit cards, Coinbase also accepts the following payment methods for linking to the Coinbase account and depositing funds for buying coins:
- Bank accounts
- Apple pay
- Google pay
If you opt for debit cards it is important to note that they require photo identification verification when linking the card, prior to use.
When finding the right payment method for you, it is important to consider the purpose because not all methods that are available to buy crypto currencies on Coinbase, are available for selling and withdrawing funds into your accounts. One should also consider the transaction time because while some are instant cash out, others take 3-5 business days. There are a few different options depending on your specific needs available on Coinbase.
How do I buy crypto currencies with a prepaid card on Coinbase?
On Coinbase, bitcoin and other crypto currencies cannot be bought with just any prepaid card, however MasterCard and Visa debit cards are accepted on Coinbase.
The main difference between debit cards and prepaid cards is that prepaid cards are simply loaded with a certain amount of money and can be used while debit cards do the same but are linked to bank accounts. Since prepaid cards are not accepted on Coinbase, we will explore the next best thing, Visa and MasterCard debit cards.
When you want to use a debit card on Coinbase, the first thing you need to consider is the amount you want to load. Debit cards are perfect for smaller investments up to 3,000 USD; however if you would like to make larger payments then a bank account transfer is the best option.
If the investment is within the limit for debit cards, then we will take the following steps to link the debit card to our account:
Click the “payment method” tab on the Coinbase website or app
Once you click the payment method tab, you will select the tab for add payment method. Once you click the add payment method tab, select the debit card.
Add debit card information
Once you have selected a debit card as your payment method, add the relevant debit card information required.
Two small debits will be applied to your card and you will find them in your online bank statements. Not to worry, these are temporary debits for verification purposes only.
Verifying your debit card
Your bank statement will display the two temporary debits from Coinbase, your job is to enter those amounts on to the given space on Coinbase. Congratulations, if you have entered the exact amounts on your Coinbase then your debit card has been successfully added and it is verified!
Benefits of using prepaid cards to buy crypto currencies
There are several benefits of using prepaid cards on Coinbase and other crypto platforms. Here are five reasons why prepaid cards are a great payment method for crypto currency platforms:
Lower risk of debt
Due to the nature of prepaid cards, you can only access the funds you have already loaded onto the card. This is great because you cannot use any funds on credit to purchase the crypto currency coins; therefore you will only be using funds you have and are not borrowing on credit.
Prepaid cards are relatively easy to get and use. Adding and using them on websites like Coinbase is fairly easy and straightforward. They do not require much to use and work similarly to debit and credit cards, so there is nothing out of the ordinary with their use.
Unlike bank transfers, the use of prepaid/debit cards is instant. There is no waiting time to access your funds on the website, once you have connected and begun the trade linked to the debit card, the funds are instantly accessible.
Prepaid cards are relatively secure, and the best thing is if anything goes wrong only the money on the cards is accessible and not all the money in the account which is the case for bank linked debit cards.
Less information required
Prepaid cards do not require as much information. There are even some sites that do not require ID verification so they make it easier to purchase crypto currencies without giving any personal information.