Credit Cards

Prepaid Credit Cards (Continuously Updated)

  • Last Updated:
  • Apr 25th, 2018 5:15 pm
Tags:
None
Sr. Member
Jan 19, 2017
749 posts
222 upvotes
cahk wrote:
Jan 10th, 2018 1:27 am
Gift cards are exempt from GST.
https://www.canada.ca/en/revenue-agency ... cates.html
But prepaid cards are different:
Example 10 – Bank gift card
Facts
SponsorCo sells a stored‑value gift card issued by BankCo that is accepted as a means of payment for supplies made by various merchants. BankCo and SponsorCo’s logos and a credit card brand are on the card. Cardholder purchases are limited to the amount of money loaded onto the card. The card is neither a debit card (it does not access an individual’s bank account at the bank) nor a credit card (it does not access previously granted credit and it is not possible to spend more than the amount remaining on the card).

At the time of purchase, SponsorCo charges a fee to the cardholder to initiate the card, load the card and open an account with BankCo. SponsorCo undertakes all activities necessary to set up the card account. In order to manage the transactions made with the card, BankCo sets up an account in respect of the card, to which all funds are credited and from which all charges are debited. BankCo charges a fee to the cardholder for the maintenance of such an account.

Issue
Does section 181.2 apply to the sale of the gift card?

Comments
Section 181.2 does not apply to the sale of the gift card. Although the card has some attributes that are similar to a gift certificate (e.g. a monetary value stored on it), this type of gift card is not a gift certificate.
Deal Addict
User avatar
Dec 8, 2010
2186 posts
691 upvotes
Does anyone know if the reloadable PayPower Mastercard reload fees scale with the amount you load? I know it's $4.95 for $500, just wondering if it scales/if there are cutoff points...

Also, is there a list of places you can load the damn thing? The website is useless. I tried CircleK the other deal and it didn't work.

Thanks!
Deal Addict
User avatar
Aug 24, 2016
3481 posts
2095 upvotes
Where am I? That is …
cahk wrote:
Jan 10th, 2018 1:27 am
Gift cards are exempt from GST.
https://www.canada.ca/en/revenue-agency ... cates.html
The loaded value of the gift card is exempt from GST, but the activation fee is a “service” and would be subject to the Goods and Services Tax.
Besides that, a prepaid credit card would not fall into the same category as regular gift cards I don’t think.
Deal Addict
User avatar
Aug 24, 2016
3481 posts
2095 upvotes
Where am I? That is …
daverobev wrote:
Jan 12th, 2018 8:50 am
Does anyone know if the reloadable PayPower Mastercard reload fees scale with the amount you load? I know it's $4.95 for $500, just wondering if it scales/if there are cutoff points...

Also, is there a list of places you can load the damn thing? The website is useless. I tried CircleK the other deal and it didn't work.

Thanks!
I’m avoiding the reloadable because they seem to have a monthly maintenance fee from what I’ve seen.
Some even have a per transaction fee!
I pay 7.95 activation for One Vanilla $500 load, which is more than what you pay for your PP, but there is no additional fees after purchase with the One Vanilla.
And they’re readily available at 7-11 which counts as grocery on my Scotia Amex for 4% return.
Deal Addict
Oct 4, 2009
1969 posts
723 upvotes
Montreal
Any of these $500 prepaid cards available for purchase in QC with Amex? All I’ve seen so far are $100-200 with $6.95-7.95 activation fees at Metro/Super C which defeats the purpose.

Saw a $500 prepaid at the post office yesterday but cash or debit only.
Deal Addict
User avatar
Aug 24, 2016
3481 posts
2095 upvotes
Where am I? That is …
S5 wrote:
Jan 12th, 2018 10:16 am
Any of these $500 prepaid cards available for purchase in QC with Amex? All I’ve seen so far are $100-200 with $6.95-7.95 activation fees at Metro/Super C which defeats the purpose.

Saw a $500 prepaid at the post office yesterday but cash or debit only.
No 7-11 in Quebec?
Deal Addict
User avatar
Apr 24, 2017
2651 posts
994 upvotes
Vancouver
S5 wrote:
Jan 12th, 2018 10:16 am
Any of these $500 prepaid cards available for purchase in QC with Amex? All I’ve seen so far are $100-200 with $6.95-7.95 activation fees at Metro/Super C which defeats the purpose.

Saw a $500 prepaid at the post office yesterday but cash or debit only.
Check your local 7-11 and Safeway.
😎 "How do you like to pay?" "American Express!" 😄
Deal Addict
Oct 4, 2009
1969 posts
723 upvotes
Montreal
EdisonL299 wrote:
Jan 12th, 2018 10:29 am
Check your local 7-11 and Safeway.
No such thing here, hence the question.
Jr. Member
Oct 1, 2008
122 posts
59 upvotes
coolintheshade wrote:
Jan 12th, 2018 9:03 am
I’m avoiding the reloadable because they seem to have a monthly maintenance fee from what I’ve seen.
Some even have a per transaction fee!
I pay 7.95 activation for One Vanilla $500 load, which is more than what you pay for your PP, but there is no additional fees after purchase with the One Vanilla.
And they’re readily available at 7-11 which counts as grocery on my Scotia Amex for 4% return.
The Paypower only has a monthly fee if you activate it and then make it "reloadable". Otherwise it's 6.95 no tax to buy at the store which makes an effective yield on the Amex Cobalt of 3.61% (if purchased at grocery store). If you get the One Vanilla, you pay tax on the activation fee and that brings the fee to 8.98 for the $500 card. That works out to a effective yield of 3.2% if using the Amex Cobalt. After the BMO WE devaluation, this seems like a dream.
Newbie
May 10, 2017
39 posts
13 upvotes
forexnut wrote:
Jan 12th, 2018 11:33 am
The Paypower only has a monthly fee if you activate it and then make it "reloadable". Otherwise it's 6.95 no tax to buy at the store which makes an effective yield on the Amex Cobalt of 3.61% (if purchased at grocery store). If you get the One Vanilla, you pay tax on the activation fee and that brings the fee to 8.98 for the $500 card. That works out to a effective yield of 3.2% if using the Amex Cobalt. After the BMO WE devaluation, this seems like a dream.
Sorry if this has been asked before, What reload options does one have with Paypower? do they accept Amex to reload?
Jr. Member
Oct 1, 2008
122 posts
59 upvotes
bluecrabs wrote:
Jan 12th, 2018 9:34 pm
Sorry if this has been asked before, What reload options does one have with Paypower? do they accept Amex to reload?
I've never made mine reloadable so I'm not sure.
Deal Expert
Aug 22, 2011
18945 posts
6514 upvotes
Ottawa
bluecrabs wrote:
Jan 12th, 2018 9:34 pm
Sorry if this has been asked before, What reload options does one have with Paypower? do they accept Amex to reload?
You can reload in store.
Member
Feb 17, 2017
442 posts
204 upvotes
Calgary
bluecrabs wrote:
Jan 12th, 2018 9:34 pm
Sorry if this has been asked before, What reload options does one have with Paypower? do they accept Amex to reload?
They do if you reload it in somewhere like Safeway.
Newbie
May 10, 2017
39 posts
13 upvotes
vkizzle wrote:
Jan 13th, 2018 1:40 pm
You can reload in store.
CanadianSpruce wrote:
Jan 13th, 2018 1:59 pm
They do if you reload it in somewhere like Safeway.
thanks folks, what is the max I can reload in one go?
Jr. Member
Oct 1, 2008
122 posts
59 upvotes
bluecrabs wrote:
Jan 13th, 2018 2:44 pm
thanks folks, what is the max I can reload in one go?
$500 for the starter Paypower card......I think someone mentioned that they were able to do 600 on their "reloadable" Paypower a few pages back. If anyone has done more at a grocery store, please post.

Top