Debit Credit Cards : Their Function And Purpose

Debit cards are useful for many consumers. Before the advent of debit credit cards, you had two options to get your money, cash or check. Both of those methoda could be exploited and used liberally by thieves with very few restrictions. Now that the banking system has customized the credit card system for use with your account, you have much more protection than just a handful of years ago.[br]

Debit cards are useful for many consumers. Before the advent of debit credit cards, you had two options to get your money, cash or check. Both of those methoda could be exploited and used liberally by thieves with very few restrictions. Now that the banking system has customized the credit card system for use with your account, you have much more protection than just a handful of years ago.[br]

When you open up a checking account, most banks will give you an option of getting debit credit cards along with your checks. It will take a few weeks for the card to arrive and set up the personal identification number (PIN) at the banking branch.

One of the first differences that you will notice from credit cards is that you can access an ATM machine with your debit card just like a traditional ATM card. So, if you need cash for something that has come up, simply swipe your card and you have access to your account and your funds.[br]

Using debit credit cards at a store works in much the same way as a credit card. When you swipe the card then the machine checks for a specified amount of funds that are available. Depending on what kind of merchant this is will depend on how much they check for. For example, a restaurant will typically only check for a few cents but a has station will check for at least $100.

All of this is done on the same system as the credit cards except that instead of being added to your bill for a credit card the money comes out of your bank account immediately. Keep in mind that debit card transactions clear your account a lot quicker than checks as well.

One big drawback to debit cards is that it is very easy to overdraft your account if you don’t pay meticulous attention to what you’re using it for and when. Even if you only overdraft the account by a few dollars, the bank will likely charge you a big fee or reject the transaction completely and then you’ll get fees from the merchant. But overall using debit cards is typically safer and easier than carrying around cash and a checkbook. Some stores won’t even accept checks anymore, so having a debit card available is always a good idea