Adele has heard great things about prepaid debit cards and wants to get one. But her friends say they are not worth the trouble. They made a list of all the drawbacks of prepaid cards. Which of the following does NOT belong on the list?
A) The cardholder is charged high transaction fees.
B) The cardholder can be charged inactivity fees.
C) The cardholder cannot amass debt.
D) The cardholder has limited fraud protection.
E) The cardholder cannot build a credit history.
Answer: C
Explanation: C) A debit card is funded by a linked account that the holder deposits money into. Purchases made with the card come off the account and are paid back over time to replenish it. The user is spending his or her own money and not amassing debt, which is a positive aspect.
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