Mastercard launches new credit card for migrants

Credit cards have increasingly become a vital part of our financial history. As credit cards and credit card usage become more and more prevalent, they play a crucial role in determining our credit history - a factor which can determine a variety of factors, from obtaining mobile phone contracts to securing the perfect mortgage plan. However, migrants to Britain are often left out of the credit card market, as many do not possess bank accounts and are unable to sign up for a credit card without providing details of their National Insurance number, employment or credit history.

Mastercard, however, have come up with a new pre-paid credit card for migrants in the UK. The new 'Unique' pre-paid credit card was developed by Advanced Payment Solutions and is issued by Broadcastle Bank. The card has been designed especially for use by this consumer group, and Mastercard claims that it will provide users with the numerous benefits offered by regular credit card companies and bank accounts, without the need for the customer to have either of these things.

Home Office figures reveal that over 427,000 migrants have entered the UK in the last to years, pushing the population up to 60 million. Razia Bibi of the Unique card said:

"It is virtually impossible for international workers moving to the UK to open bank accounts. Without proof of address, proof of employment and several years credit history, applications are inevitably rejected."

The Unique card works similarly to a mobile phone top up card, in which the cardholder tops up their phone at any participating outlet nationwide with the desired amount of money. Using the card in this way eliminates the risk of falling into debt and accumulating large interest payments. Since users of the Unique card need no credit checks or employment history, users can take advantage of the card for all their purchases - from buying petrol, to buying crisps in the supermarket.

The Unique card is available to anyone over 18 and living in the UK, launched specifically to offer migrants a safe alternative to cash. The card also offers migrants the ability to shop online as well as at one of 24 million worldwide locations, or to access over a million ATM machines globally where the MasterCard logo is displayed.

This move by Mastercard follows a similar initiative recently launched by Visa, who last month announced the first pay-as-you-go Visa Voucher. The Visa Voucher allows shoppers to make purchases online with 100% confidence in how they spend their money, and seems to answer the prayers of many shoppers who are afraid of buying online due to risk of fraud.

Andrew Regan is an online journalist who enjoys socialising at his local rugby and cricket clubs.