Facebook Prepaid Ad Account Guide 2025:How It Works and Why Advertisers Use It

A Facebook prepaid ad account works like a prepaid phone plan. You add money first, your ads run until the balance hits zero, then everything stops. No credit cards needed. No surprise bills at the end of the month. Though prepaid accounts have specific advantages, they’re not right for everyone. In this guide, I’ll share exactly how prepaid accounts work, when to use them, and how to avoid the common pitfalls I see advertisers encounter.

What Is a Facebook Prepaid Ad Account?

A Facebook prepaid ad account is a billing type where you pay before your ads run. When your account has funds, ads deliver. When the balance runs out, ads stop automatically.

Think of it exactly like topping up a mobile phone. You add $100, you can spend $100, and when it’s gone, service stops until you add more.

The basic mechanics:

• You manually add funds through bank transfer, e-wallet, or local payment methods
• Facebook deducts from this balance as your ads run
• You can see your remaining balance in real-time
• When the balance reaches zero, all active campaigns pause automatically
• You add more funds to resume advertising

This is fundamentally different from postpaid accounts, where Facebook bills you after your ads run, either monthly or when you hit spending thresholds.

Why Many Advertisers Still Choose Prepaid Ad Account

After managing over 3,500 ad accounts at GDT Agency and working with clients across 18 countries, from my experience working with hundreds of small to medium businesses, here’s why prepaid remains popular:

1. You Control Exactly What You Spend

You can only spend what you add. If you load $500, you can’t accidentally spend $600. This hard limit helps you stick to budgets and prevents the “I’ll just spend a bit more” creep that happens with postpaid accounts.

I’ve seen business owners breathe easier knowing there’s literally no way to overspend. One client told me, “I sleep better with prepaid because I know exactly what’s coming out of my account.”

2. Zero Surprise Bills

You see the amount you load. You watch it decrease as ads run. When it’s gone, it’s gone. No end-of-month statements. No unexpected charges from campaigns you forgot to turn off.

With postpaid, I’ve seen people get shocked by $3,000 bills because they left campaigns running over a weekend. With prepaid, that’s impossible.

3. Works in Markets With Limited Credit Card Access

In many Asian markets, credit card penetration is still relatively low compared to Western markets. Prepaid accounts using bank transfers or e-wallets solve this problem completely.

At GDT Agency, about 40% of our Vietnamese clients prefer prepaid specifically because they don’t use credit cards for business expenses. They’d rather transfer funds from their business bank account directly.

4. Safer for Learning and Testing

If you’re new to Facebook Ads, prepaid removes the fear of accidentally spending your entire marketing budget in one day because you misconfigured something.

I always recommend prepaid to first-time advertisers. Load $100, learn the system, see how it works. Once you’re comfortable and scaling, consider switching to postpaid.

5. Perfect for Seasonal or Project-Based Campaigns

Running a 2-week promotion? Load exactly what you budgeted for that promotion. When it’s done, you’re done. No need to remember to update payment methods or cancel subscriptions.

One of our e-commerce clients runs prepaid accounts specifically for seasonal campaigns (Tet, Black Friday, etc.). They budget per event, load that exact amount, and never worry about campaigns running beyond their planned period.

Prepaid vs Postpaid: Which One Actually Fits You?

Let me break this down based on real advertiser needs, not just technical differences.

My recommendation:

Start with prepaid if you’re spending under $5,000/month or are new to Facebook Ads. The control and safety outweigh the inconvenience.

Switch to postpaid when you’re spending consistently over $10,000/month, and you have systems in place to monitor spend daily. At that scale, the convenience becomes more valuable than the hard spending limit.

At GDT Agency, we use postpaid for client accounts because we’re managing high volumes and have teams monitoring performance daily. But I still use prepaid for my personal project accounts where I want strict budget limits.

How to Create a Facebook Prepaid Ad Account (2025 Updated)

Here’s the step-by-step process I follow. This works as of 2025, though Facebook occasionally changes its interface.

Step 1: Check if Your Country Supports Prepaid

Not every country allows prepaid ad accounts. As of 2025, Vietnam, Philippines, Thailand, Indonesia, and several other Asian markets still support prepaid. The US, UK, and most European countries typically don’t offer prepaid options.

How to check:

• Start creating a new ad account in Business Manager
• During payment setup, you’ll see available payment methods
• If prepaid-compatible methods (bank transfer, local e-wallets) appear, your country supports it

If you’re unsure, contact Facebook Support or check their business help center for your specific country.

Step 2: Create Your Ad Account in Business Manager

• Go to Business Settings in your Business Manager
• Click “Ad Accounts” in the left menu
• Click “Add” → “Create a New Ad Account”
• Name your account (use clear naming – I use “CompanyName – Market – Prepaid”)
• Select your time zone and currency (this cannot be changed later)

Step 3: Navigate to Payment Settings

• Once the account is created, select it
• Click “Payment Settings” in the left menu
• This is where you’ll set up prepaid billing

Step 4: Choose a Prepaid-Compatible Payment Method

This varies by country. In Vietnam, common options include:

• Bank transfer (most common)
• Local e-wallets (Momo, ZaloPay, etc.)
• Certain local payment gateways

Important: Credit cards typically trigger postpaid billing. To get prepaid, you need to use methods that don’t offer credit.

Step 5: Add Your First Payment

• Enter your business information (must match your registered business)
• Select the amount you want to add
• Complete the payment through your chosen method
• Wait for confirmation (usually instant, sometimes takes a few hours)

Once payment is complete, your account should automatically be set as prepaid. You’ll see your balance displayed in Payment Settings.

Troubleshooting if it doesn’t work:

If your account doesn’t switch to prepaid after payment:

• Your country might not support prepaid for new accounts
• Your currency might not be compatible
• The payment method you chose might default to postpaid

Contact Facebook Support if you specifically need prepaid, and it’s not working.

How to Switch From Postpaid to Prepaid

This is one of the most common questions I get. The answer depends entirely on your country.

If your country/region supports prepaid:

1. Go to Payment Settings in your ad account
2. Remove your current postpaid payment method (credit card)
3. Add a prepaid-compatible payment method (bank transfer, e-wallet)
4. Make your first prepaid payment
5. Facebook should automatically convert your account to prepaid

Important: Make sure to settle any outstanding balance on your postpaid account before switching. If you owe money, Facebook won’t let you remove the payment method.

If your country doesn’t support prepaid:

You’re out of luck with your existing account. You have two options:

Option 1: Create a new ad account in a country that supports prepaid (requires legitimate business presence there)

Option 2: Work with an agency that provides prepaid ad accounts. At GDT Agency, we can set up prepaid accounts for clients because we operate in markets that support them.

Reality check: Most Western markets (US, Canada, UK, most of the EU) don’t offer prepaid anymore. Facebook phased it out in these regions years ago. If you’re in these markets and want strict budget control, your best option is to set account spending limits on a postpaid account.

How to Switch From Prepaid to Postpaid

This is much easier than going the other direction. Postpaid is Facebook’s preferred billing method, so they make switching simple.

To convert prepaid to postpaid:

1. Go to Payment Settings
2. Add a valid credit or debit card
3. Your account automatically converts to postpaid

That’s it. Any remaining prepaid balance will be used first, then Facebook starts charging your card.

When to make this switch:

• You’re consistently spending $10,000+/month
• You’re tired of manual top-ups
• You have reliable spending monitoring systems
• You’re scaling campaigns and can’t risk ads stopping

I switched my main business account from prepaid to postpaid when we crossed $15k/month in spend. The administrative burden of constant top-ups outweighed the benefit of hard limits.

How to Add Funds to Your Prepaid Account

This is straightforward once you know where to look.

Steps:

1. Go to your ad account in Business Manager
2. Click “Payment Settings”
3. Click “Add Funds” (button location varies slightly by interface version)
4. Enter the amount you want to add
5. Confirm payment through your chosen method
6. Wait for balance to update (usually instant, sometimes 1-2 hours)

Pro tips from experience:

• Add funds before you run out: Don’t wait until your balance hits zero. I recommend topping up when you have 20-30% remaining. This prevents ads from stopping while you process a new payment.
• Consider your bank’s processing times: Some banks process transfers instantly. Others take hours or even days. Know your bank’s typical timing and plan accordingly.
• Top up larger amounts less frequently: If you’re spending $1,000/month, don’t add $100 ten times. Add $1,000 once or $500 twice. Saves you time and administrative work.
• Set calendar reminders: I use recurring calendar alerts to check prepaid balances weekly. Takes 30 seconds and prevents campaigns from stopping unexpectedly.
• Keep transaction receipts: Save confirmation emails or transaction records. Occasionally, payments get delayed or lost – having proof speeds up resolution.

How to See Balance in Prepaid Facebook Ad Account

You can see your current balance at any time:

1. Go to Business Manager
2. Select your ad account
3. Open “Payment Settings”
4. Your current balance is displayed at the top

You can also see:

• Transaction history (every time you added funds)
• Spending history (how much was deducted and when)
• Pending transactions (funds that haven’t cleared yet)

I check this daily for active accounts. Quick 10-second habit that prevents problems.

Advanced Tips for Managing Prepaid Facebook Ad Accounts

After years of managing prepaid accounts, here are the non-obvious things that matter:

Set an Account Spending Limit

Even with prepaid, you can add an additional spending limit. This is useful if multiple people have access to add funds.

How to set it:

1. Go to “Billing and Payment Methods”
2. Click “Payment Settings”
3. Click “Set Account Spending Limit”
4. Enter your desired limit
5. Save

Now, even if someone adds $10,000 to the account, campaigns will pause when they hit your set limit. This adds an extra safety layer.

Handle Low Balance Proactively

Create a system to monitor balance:

• Set a minimum threshold (maybe 20% of typical weekly spend)
• Check the balance at the same time daily
• Top up immediately when you hit your threshold
• Keep payment method details readily available

At GDT Agency, we have automated alerts that notify us when any client’s prepaid account drops below their threshold. Prevents campaigns from stopping unexpectedly.

Removing Unused Prepaid Funds

If you have a leftover balance and want it back, you need to contact Facebook Support directly. There’s no self-service refund option.

Process:

1. Submit a support ticket through Business Help Center
2. Provide ad account ID and business verification
3. Request a refund with a reason
4. Wait for Facebook to process (usually 7-10 business days)

Reality check: Facebook isn’t fast about refunds. If you only have $50 left, the time investment might not be worth it. Consider just using it for future campaigns instead.

Understand Transaction Fees

Facebook doesn’t charge fees for adding funds. But your payment provider might.

Common fees I see:

• Bank transfer fees: $1-5 per transaction (depends on bank)
• E-wallet fees: Usually 0-2% of transaction amount
• Currency conversion fees: 2-4% if paying in a different currency

Check with your bank or payment provider before adding funds, so you know the total cost.

What to Do When Payment Is On Hold

Sometimes payments get flagged and placed on hold. This is frustrating but usually fixable.

Common reasons:

• First-time payment from a new account
• Unusually large payment amount
• Business verification incomplete
• Payment method flagged for security reasons

How to resolve:

1. Check for notifications in Business Manager (there are usually instructions)
2. Verify your payment method is valid and has sufficient funds
3. Complete any requested business verification
4. Contact support if the issue persists beyond 48 hours

I’ve had payments held a few times. Usually resolved within 24 hours by completing whatever verification Facebook requested.

Who Should Actually Use Prepaid Accounts in 2025?

Let me be direct about who benefits from prepaid and who doesn’t.

Prepaid makes sense for:

• Small businesses spending under $5,000/month – Budget control outweighs inconvenience
• New advertisers learning the platform – Safety net while learning
• Seasonal businesses – Load exactly what you need per season
• Markets without reliable credit access – No credit card needed
• Project-based campaigns – Fixed budget per project
• Businesses that had overspending problems – Hard limits prevent repeating mistakes

Postpaid makes more sense for:

• Agencies managing multiple clients – Too many accounts to manually top up
• High-volume advertisers over $10k/month – Constant top-ups become a burden
• Businesses that need 24/7 ad delivery – Can’t risk ads stopping
• Companies with mature financial processes – Regular spend monitoring already in place

My personal take:

I use prepaid for side projects and tests where I want absolute control. I use postpaid for main business operations where I need reliability and scale. Neither is “better” – they serve different needs.

Practical digital marketing knowledge at Henryduy.com

The Reality of Prepaid in 2025

Facebook prepaid ad accounts are becoming less common globally. Facebook prefers postpaid billing because it’s more predictable for their revenue. If a Facebook prepaid ad account works in your market and matches your needs, use it. Don’t let anyone tell you it’s “outdated” or “unprofessional.” It’s a billing preference, nothing more. What matters is results, not how you pay for your ads. As the final goal isn’t finding the “perfect” billing method, but is running profitable ads consistently without financial surprises. Choose whichever billing type helps you achieve that.