Why are you using a debit card? Who does that?

[NoPresetSnarkLimit]

I can't think of a single good reason to use one, I shred mine when they send them, I really can't see why anyone would expose their checking account balance to the various fraud that can occur when you can use a credit card and risk someone else's money.

 

I'm aware there are some protections on debit cards as well but why risk a penny or have your balance tied up for who knows how long while the bank investigates.

 

The only case I can make is MAYBE for Discover's checking that offers some cashback for using it.

 

Enlighten me, discuss.

[Zobelle]

Pretty much.

 

I only use my Discover Checking debit for purchases $2 or under where the 10c/swipe is most lucrative. Right now the cashback is 20c/swipe.

[NoPresetSnarkLimit]

Pretty much.

 

I only use my Discover Checking debit for purchases $2 or under where the 10c/swipe is most lucrative. Right now the cashback is 20c/swipe.

Yes! This plus the free $50 makes sense.

[ChanceBurt]

Pretty much.

 

I only use my Discover Checking debit for purchases $2 or under where the 10c/swipe is most lucrative. Right now the cashback is 20c/swipe.

 

Yep, the only debit card I use is this one for this purpose. It's an account I only leave a couple hundred in at a time anyway.

[aviva_dawn]

The only debit card that I use is the Amex Bluebird because its insanely easy for me to keep my money away from my actual bank account, and track my Mad Money spending with a single account.

 

Otherwise, I use CCs and Cash.

[ubercat]

Cash deposits. That's the only reason.

[jonson]

I have a Chase business checking that requires 5 debit transactions a month. The debit card I carry with me has a $50 daily spending limit, and I generally just use it at costco's gas pump since I don't have an Amex anymore.

 

My primary checking account is at USAA, and the debit card for that account is set at $100 per day.

[Zobelle]

I have a Chase business checking that requires 5 debit transactions a month. The debit card I carry with me has a $50 daily spending limit, and I generally just use it at costco's gas pump since I don't have an Amex anymore.

 

My primary checking account is at USAA, and the debit card for that account is set at $100 per day.

I'd buy 5 packs of gum with it.

 

Definitely wouldn't use for gas.

[Second Chances]

On the rare occasion I need cash back.

 

I also only have one major cc at the moment (I know, I know, I need another one). I'm waiting for a statement to cut for util purposes before an app, so using debit for small stuff right now. I will say the account it is linked to isn't one I keep a lot of cash in.

[donuteric]

If you're talking about bank-issued debit cards, then yes, no one should really use them. If you classify any PIN-enabled cards as debit cards, then many of us use them to generate spends/miles.

[CTSoxFan]

Only time I use debit card is for deposits of or withdrawals of cash. Now that Chase raised my mobile check deposit to $10K I probably use an ATM once a month, or less. I never use my debit card outside of a Chase ATM, except for getting local currency outside the US.

Edited June 11, 2015 by CTSoxFan

[lucky4]

 

I have a Chase business checking that requires 5 debit transactions a month. The debit card I carry with me has a $50 daily spending limit, and I generally just use it at costco's gas pump since I don't have an Amex anymore.

 

My primary checking account is at USAA, and the debit card for that account is set at $100 per day.

I'd buy 5 packs of gum with it.

 

Definitely wouldn't use for gas.

 

That's pretty much what I do. I had an old grandfathered in WAMU account that was totally free checking. Chase honored the terms for a few years before force-upgrading it to a service fee checking that can be waived with 5 monthly transactions.

 

So to avoid the monthly service fee, I pick up 5 needed grocery items that are small in price and go to the self serve check-out line and pay for them one swipe at a time. I usually split it up in 2-3 visits so as not to be a total DBag generating merchant fees for the store. But they do overcharge for most everything so I don't lose too much sleep over it (plus I'm doing their job for them as I'm not compensated as a checkout clerk for the store.)

Edited June 11, 2015 by lucky4

[jonson]

 

 

I have a Chase business checking that requires 5 debit transactions a month. The debit card I carry with me has a $50 daily spending limit, and I generally just use it at costco's gas pump since I don't have an Amex anymore.

 

My primary checking account is at USAA, and the debit card for that account is set at $100 per day.

I'd buy 5 packs of gum with it.

 

Definitely wouldn't use for gas.

My only other option at Costco is gift cards. I feel safer using a low-limit debit card at the pump than carrying gift cards with me.

[visorboy1974]

I don't shred mine because I need to use the ATM to withdraw cash for the golf cart lady who doesn't have a credit card machine.

Edited June 11, 2015 by visorboy1974

[donuteric]

If you're talking about bank-issued debit cards, then yes, no one should really use them. If you classify any PIN-enabled cards as debit cards, then many of us use them to generate spends/miles.

 

With that said, I don't go to the extreme to shed mine but mostly use them for withdrawal in international locations where I don't have a local account. Products like Schwab, USAA, and 360 are likely to be better than the forex counter.

[cashnocredit]

Costco members that don't have an Amex.

 

At least until next April.

[Vettecor]

I'm going to play devils advocate on this one. Do you know how many people have got themselves in trouble financially by constantly using their cc for all their purchases ? Quite a few I'm sure. Good chance they didn't keep track of their purchases and then will the bill comes they can't pay the entire amount.

 

Now because they can't pay the entire amount they pay what they can afford. So now they are going to have interest charges.

 

I know people who can't handle having a cc. One of my friends has declared bankruptcy 2 times in 12 years. He and his wife just go crazy when they get a cc.

 

I think debit cards are great for people like them.

[Zobelle]

I'm going to play devils advocate on this one. Do you know how many people have got themselves in trouble financially by constantly using their cc for all their purchases ? Quite a few I'm sure. Good chance they didn't keep track of their purchases and then will the bill comes they can't pay the entire amount.

 

Now because they can't pay the entire amount they pay what they can afford. So now they are going to have interest charges.

 

I know people who can't handle having a cc. One of my friends has declared bankruptcy 2 times in 12 years. He and his wife just go crazy when they get a cc.

 

I think debit cards are great for people like them.

 

Cash and negotiate discount with Merchant trumps this.

[cashnocredit]

I've run across a lot of contractors that will give >10% discount for cash (as in Benjamins). Somehow I don't think it's the merchant fee savings.

[mfarmer]

Cash back.

Cash withdrawal.

When I wasn't as clean with my use of credit and wasn't sure I'd make payments on time.

When all I had were small cards with low ($300-$500) limits and I didn't feel like jacking my utilization.

And... when I didn't have rewards CCs - there seemed little reason for me running the $ through a credit card (except for usage) rather than cutting out middleman and just using my cash.

 

Once I obtained decent limit, rewards cards it make more sense to use them.

 

But FWIW, most debit cards (in my experience, at least) protect your money just as well as CCs. Near same security; near same fraud response.

[mendelssohn]

Cash back.

Cash withdrawal.

When I wasn't as clean with my use of credit and wasn't sure I'd make payments on time.

When all I had were small cards with low ($300-$500) limits and I didn't feel like jacking my utilization.

And... when I didn't have rewards CCs - there seemed little reason for me running the $ through a credit card (except for usage) rather than cutting out middleman and just using my cash.

 

Once I obtained decent limit, rewards cards it make more sense to use them.

 

But FWIW, most debit cards (in my experience, at least) protect your money just as well as CCs. Near same security; near same fraud response.

 

 

Debit cards are not covered the same way, and it's your money missing if you have fraudulant charges on your account, not part if a CL.

[stinky1]

My CU pays 2% interest on checking balances up to $15k if you use debit 12x each month, so I make small purchases by debit for that. Also need it for Winco groceries.

[mfarmer]

Debit cards are not covered the same way, and it's your money missing if you have fraudulant charges on your account, not part if a CL.

 

 

Tell me more? Because to me it looks the same, for instance, here at BOA:

Fraud Protection

• Total Security Protection^®. This package is offered automatically with all Bank of America credit cards and debit cards. It provides you with greater defense against theft, loss and fraudulent use of your card.
• $0 Liability Guarantee. Should your card be lost or stolen, Bank of America will credit fraudulent charges made with your card back to your account as soon as the next business day.Footnote¹
• Fraud monitoring. Reviews how and where your card is being used and is designed to help block potential fraud if abnormal patterns are detected.

https://www.bankofamerica.com/privacy/accounts-cards/credit-debit-card-security.go

 

That's the way it worked the one time I was a victim - my $ credited back to me while they investigated. I'm sure YMMV, but... again, only speaking for myself - it's darn near the same coverage.

Maybe I'm missing something?

[I don't even...]

Cash back.

Cash withdrawal.

When I wasn't as clean with my use of credit and wasn't sure I'd make payments on time.

When all I had were small cards with low ($300-$500) limits and I didn't feel like jacking my utilization.

And... when I didn't have rewards CCs - there seemed little reason for me running the $ through a credit card (except for usage) rather than cutting out middleman and just using my cash.

 

Once I obtained decent limit, rewards cards it make more sense to use them.

 

But FWIW, most debit cards (in my experience, at least) protect your money just as well as CCs. Near same security; near same fraud response.

 

 

Yes you will get your money back, but what about the rent check that bounced? What about the credit card payments that are set to automatically pull from your checking account?

[mendelssohn]

 

 

Debit cards are not covered the same way, and it's your money missing if you have fraudulant charges on your account, not part if a CL.

 

Tell me more? Because to me it looks the same, for instance, here at BOA: Fraud Protection

• Total Security Protection^®. This package is offered automatically with all Bank of America credit cards and debit cards. It provides you with greater defense against theft, loss and fraudulent use of your card.
• $0 Liability Guarantee. Should your card be lost or stolen, Bank of America will credit fraudulent charges made with your card back to your account as soon as the next business day.Footnote¹
• Fraud monitoring. Reviews how and where your card is being used and is designed to help block potential fraud if abnormal patterns are detected.

https://www.bankofamerica.com/privacy/accounts-cards/credit-debit-card-security.go

 

That's the way it worked the one time I was a victim - my $ credited back to me while they investigated. I'm sure YMMV, but... again, only speaking for myself - it's darn near the same coverage.

Maybe I'm missing something?

http://money.cnn.com/2013/12/20/pf/expert/debit-credit-cards/