Originally Posted by redtop43

This may seem like a basic question... but do I understand this correctly.

What you can do sometimes, is go to a store and purchase a prepaid card. This is a Visa, Mastercard, or American Express card which is basically used just one time. You pay $5.95 (usually) for the card, plus the amount that you load onto it, and then use it like a regular credit card until it's used up. These cards usually have a $500 loadable maximum. The advantage is that you (a) can time-shift purchases to meet spending requirements and (b) can often purchase the prepaid card at a store which falls into a bonus category. For example, if you had an Ink Bold or a Chase Freedom with groceries as a bonus category, you could purchase the prepaid card at an office supply or grocery store respectively, and get 5x points. Then you use the prepaid card as you would any credit card.

Am I understanding this right?

Also, are these cards reloadable? This would be useful if you wanted to register the card for some kind of recurring use, or just not deal frequently with a small balance.