Generally, for your money on a prepaid card to be insured by the FDIC, you must register the card. That’s because money loaded onto prepaid cards is typically held in a pooled account at the bank that issued the card, rather than in an individual account in your name. A pooled account qualifies for FDIC insurance only if it meets federal requirements. For one thing, the bank must have information in its files that identifies you, and that usually means you must register the card.
Check our example of a prepaid card disclosure to see where you can find the FDIC insurance statement.