Refers to a business model in which a service is paid for in advance before it is used. Especially common with mobile phone plans or credit cards.
example
Ich habe ein Handy mit einer Prepaid-Karte, weil ich keine monatliche Vertragsgebühr zahlen möchte.
I have a mobile phone with a prepaid card because I don't want to pay a monthly contract fee.
Usage tips
Origin from English
'Prepaid' is a word from English. It is made up of 'pre' (before) and 'paid' (paid). So it literally means 'paid in advance.'
EXAMPLE
Mit einem Prepaid-System zahlen Sie zuerst und nutzen die Leistung danach.
With a prepaid system, you pay first and use the service afterward.
Use as a compound
'Prepaid' is most commonly used as the first part of a compound noun. The best-known examples are 'die Prepaid-Karte' (prepaid card), 'der Prepaid-Tarif' (prepaid plan), and 'das Prepaid-Guthaben' (prepaid credit/balance).
EXAMPLE
Ich muss mein Prepaid-Guthaben wieder aufladen.
I need to top up my prepaid credit again.
Grammatical feature
As an adjective, 'prepaid' is usually not declined in German. It often appears unchanged after the noun or is used as part of a compound, e.g. 'Prepaid-Karte' (prepaid card).
EXAMPLE
Ist dieser Handytarif prepaid oder mit Vertrag?
Is this mobile phone plan prepaid or with a contract?