Check out some vital Facts about Your Debit Card!

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 

Know more on use of Bank MICR Code!

The full implication of MICR stands as Magnetic Ink Character Recognition  Code and it mainly contains 9 digits. This code is in the format like ‘380002007’ and appears right at the bottom of the cheque leaves. This is present following the cheque number and each Bank has a Unique MICR code of its own. It in other words could also be regarded as an identity factor for any Bank Branch.

The Reserve Bank of India had introduced this concept for safe and effective payments across the country. It is not just the sole safety step taken up by RBI but nonetheless, it is one of the unique systems that helps in cheque clearing process as well. Another importance of The MICR Code is in identifying online Money transfer as well. RBI can easily trace out the bank branch with the help of this code while clearing process.

Easy steps to remember the long Bank MICR code

·         Remember the initial 3 characters is used to display the city and is derived from the first three characters of the PIN in the address of bank branch.

·         The digit displayed in the 4,5 & 6^th place displays the bank code that is given to the bank by RBI

·         Following 7, 8 and 9^th place is the display of Bank Branch Codes that are allotted to any branch of bank

Use of Bank MICR Code to speed up the processing of Cheques

Earlier the manual clearing process of cheques had posed many human errors and much delay in the process too. But ever since this magnetic code came into existence, it is no more the task of humans to check but a machine does its job making process fast and flawless.

Under the machine reading method, all the cheques are inserted into the machine to identify the authenticity of cheque by checking bank branch whose cheque has been issued and thereby carries the automation clearing process.

It was in the Payments in India: Vision 2009-12 that RBI had regulated an order that tells that all bank branches be enabled with an MICR code to make clearing process fast and perfect. RBI’s another intention is that to reduce any paper-based clearings by opening up MICR Cheque Processing Centers so that they may process about 95% of volume and value of cheque processes. But one can only get a fully proofed MICR code and IFSC code from any reliable branch of nationalized/private banks in our country.

Visit For More Info:- State Bank Of India Branches IFSC Code