A
debit card is just like an ATM card and one having a VISA or
MasterCard Logo to it. A debit card can be used with a PIN and or
with just a signature without secret PIN or Password similar to what
can be done with Credit Card over the phone or say in store. The
important difference between Credit and that of a Debit card is that,
it does not allow users to go under a debt, except when there is a
negative balance which again can be incurred if the account holder
has signed up for an overdraft coverage.
The
good thing about debit card is that it has a daily purchasing limit
set for customers and therefore once the amount is crossed any
customer is automatically liable to stop his/her purchase with it.
This card allows user to both withdraw money right from the checking
account via ATM and through cash back functions that merchants
provide at the point of sale.
Whatever
expenses have been made with the debit card, the entire statement
appears on the monthly statement of the account holder. Hence one can
actually keep a track of the entire purchases made with the debit
card and which they do not have a track when done with cash. Another
great advantage of debit card is that, cash when stolen is lost
forever but a lost check card can be reported immediately to the
bank. The banks thereafter deactivate the card to stop any Kind of
fraudulent transactions from taking place.
When
one uses the debit card as a credit card, the money comes out
directly as a cardholder’s checking account and to which one does
not have to pay any kind of finance charges. Debit card owners can
also expect for certain offers as reward programs such as 1% back on
any purchases from their individual bank.
Some
tiny tips to lower risks with debit cards
- Avoid using debit cards more on internet but rather use your credit card for such transactions.
- Use your debit card to only trusted merchants or avoid handing it over to any and every waiters or others while you are in any restaurant or food court
If
your find any kind of error with the application of the debit card
immediately inform your bank authority. And more so important, apply
debit card only from a trusted bank having valid IFSC code to bank branch from which you have applied the card.
For More Info:- IFSC Code for Punjab National Bank
