Prepaid Debit Cards: Articles, Reviews & Discussions - Gulf Oil working on Prepaid Gas Card

Gulf Oil chief executive, Joe Petrowski, is working on a prepaid gas card. This card would allow customers to buy a fixed quantity of gas at a set price. "We want to give customers choice and lock in volume for Gulf stations," said Petrowski.

Gulf Oil operates in 11 states. petrowski indicated that regulatory hurdles are yet to be overcome. Petrowski hopes that this program will be available in late 2006 or in 2007. First Fuel Banks in St. Cloud, Minn., has been offering this for several years. First fuel bank has only 6 stations. Gulf Oil would the largest player offering prepaid gas cards. But larger oil companies are likely to try it if Gulf Oil's prepaid gas card is successful.

A prepaid gas card offers consumers protection from higher prices. Should the prices drop, the consumers could buy gas at the market price. Oil companies get increased loyalty, locks in volume and receive payment in advance with the prepaid gas cards.