Secondly by allowing consumers to purchase 50-gallon prepaid cards, gas companies would work more effectively to make decisions to drive down prices input costs to gain the lions share of the market. Competition among gas companies will produce lower prices for the consumer.
Why would gas companies work hard to cut costs and lower prices? Such legislation, if enacted, would provide billions of dollars of “new” revenue for these companies. Just think of the revenues for lost and expired cards, and cards with excess dollars left on the balances. By way of example, in 2013 it is estimated that $77 billion was spent in the prepaid credit card industry nationally. Additionally, this “locking in” option would give the industry more stability, as it would be able to smooth out the highs and lows of the market.
So, let’s urge legislation of such a program as described to give consumers more control of this supply/demand equation. Such a system would help allow the future and trust in one of the most important industries in the United States to be more consumer controlled.