Now You Can Spell Convenience with A Debit Card
Debit Cards as Opposed to Credit Cards
People are becoming increasingly fond of shopping with credit cards and debit cards instead of using cash or cheques. Carrying of a huge amount of cash is not only inconvenient, but can also be evidently risky towards muggings and robberies. With a credit or debit card, no cash needs to be carried; just swipe and sign.
Unlike credit cards, debit cards work much like ATM cards. You deposit money into your bank account, and use that amount for shopping. Debit cards can be swiped using the same machines/ terminals used to swipe credit cards. However, with debit cards, transactions can be made only if there is a sufficient amount of funds already present in your bank account.
Prior to the birth of debit cards, consumers widely used credit cards. However, the debt problem propagated by spending money a person did not have has put some consumers of credit cards. This is exactly why debit cards make good alternatives. It will only allow purchases that are backed by money that a person already has. No debt ensues.
What’s A Debit Card Offers
An On-The-Go Savings Account
When you have a debit card, it is like having a mobile bank account. This means that you can use the debit card to pay for meals and shopping without stopping by the bank to withdraw money – like an ordinary ATM card. In
Passively Earns You Interest
Purchases that are made through credit cards often charge interest rates. On the other hand, debit cards allow holders to indirectly earn interest. In order to use a debit card, a user needs to hold a savings account with a healthy (and interest earning) balance in it.
No Hidden Fees or Penalties
Banks that provide credit card services always charge annual fees, financing fees and even penalties in the event of failure to pay the credit card bills on time. If you think about a debit card, it is safe to say that there are no fees other than annual fees. There are some banks that require annual payments for them to continue to enjoy their excellent services, but none as burdensome as the charges imposed by credit cards.
ZERO Monthly Bills
Every now and then, you may find yourself in debt, worrying if you are able to pay the monthly credit card bills. With debit cards, worry no more as there will be no more monthly bills that will be delivered to your doorstep. The only letters that will arrive on your doorstep are promos and offers from the debit card company, and periodic bank statements.
Be sure to check out our upcoming Debit Card Comparison page!