topic Re: Debit cards are a useless hassle in Credit Cards

Debit cards are a useless hassle

Anonymous — Sat, 05 Jan 2008 00:29:06 GMT

I know people who have gotten fraudulent charges on their debit cards, and it's always a pain in the ass, because it debits the money first, then they have to file to get it back, whereas with a credit card you get a chance to challenge it first before you have to pay it.

This is not even counting the fact that you get rewards on most credit cards.

The best way around this pain in the ass is to call up your bank, and tell them you want the capability to charge things onto the debit card disabled, and that you want it for ATM usage only.

Credit cards are relatively easy to get too, even for someone w/ bad credit, it'll only take a year or so to rebuild it enough to be able to get an unsecured card. (Especially if they're armed w/ the information you can find here on how to rebuild it)

I never understood why people who HAVE credit cards still use a debit card. It's insecure, and you get no real benefits for it.

Having a debit card can cause all kinds of headaches. When it gets stolen, you could get your bank account drained for days/weeks until you go through the claim process, checks could bounce, etc..

Almost everybody gets a card stolen sooner or later, I would much rather it be a credit card then a debit card.

Re: Debit cards are a useless hassle

Anonymous — Sat, 05 Jan 2008 00:58:46 GMT

I have read and read on this forum about how much people dislike debit cards. Personally, I choose to use my debit card in most instances as I don't particular care to "finance" my Quarter Pounder w/ cheese, a tank of gas, or weekly groceries. A debit card with a Visa or Mastercard logo affords you the EXACT same protection as a credit card with same logo. If a fraudulent transaction is made with your debit card, the bank will credit the money in question back to your account until an investigation is complete. I know this because it happened to me once.

Message Edited by Barracuda on 01-04-2008 04:58 PM

Re: Debit cards are a useless hassle

Anonymous — Sat, 05 Jan 2008 01:20:18 GMT

Not all banks credit that money to your account prior to the conclusion of the investigation. Also, as has been mentioned you are losing out on rewards you would get otherwise. With the right card, those things you mentioned may get you as much as several hundred dollars cash back in a year.

An additional inconvenience with debit cards is that they require you to keep a lot of money in your checking account. I prefer to keep my money in savings accounts with good interest rates and transfer money to my checking when I pay my bills.

Re: Debit cards are a useless hassle

Anonymous — Sat, 05 Jan 2008 01:28:34 GMT

I feel that a debit card is just another form of money to carry around, like a check. Personally cause years ago I was denied a debit/credit atm card I don't have one...but I can see both sides of the arguement.

For those who have problems controlling their money, I can see where I would recommend one though.

Re: Debit cards are a useless hassle

Anonymous — Sat, 05 Jan 2008 02:07:19 GMT

I personally love my debit card, and there is no need for explanation...but that is the beauty of opinions...everyone is entitled. You can not please everyone, I guess.

Re: Debit cards are a useless hassle

Anonymous — Sat, 05 Jan 2008 02:52:42 GMT

Debit cards require you to have the cash in the account to pay for it.

If you have the cash, you can have at least one credit card that you PIF every month. So in lieu of debit, you charge it to that card. If you can't control your spending.. well, you better learn. Not having self control over your money is a serious problem that should be dealt with.

Again, it may have the same protection, but you may still get bounced checks and other problems from having your account drained. And boy is that going to make you look like a loser when a check you wrote bounces (My parents run a business, if someone gives them a bad check, that is the LAST time they can order anything from my parents. They've heard enough BS from people where "oh, my debit card got stolen" would be passed off as just another lie).

I honestly don't see any value in having a debit card (unless you CAN'T get a credit card, which is a minority of people). If you can't control your spending on credit, then get some help, it WILL help you in the long run (and besides, when you run out of money on your debit card, what's going to stop you from racking up spending you can't afford?).

And NEVER NEVER do a PIN transaction with a debit card! If you get your pin stolen too, then it's even harder to dispute a charge made w/ your pin.

Re: Debit cards are a useless hassle

Anonymous — Sat, 05 Jan 2008 04:31:02 GMT

I opened my current checking account in July-

I have yet to use my debit card-

I was in my CU the other day and set my PIN while I was there-

Who was the idiot that thought 4 digits was good enough for a PIN anyways?

Re: Debit cards are a useless hassle

Anonymous — Sat, 05 Jan 2008 06:13:48 GMT

OP is correct in most statements and conclusions. I do use my debit card. It is tied to a checking account in another state, a small county bank that I've done business with for 25+ years. There are no ATMs I can use here without paying a fee. So I get cashback from my grocery purchases with no fee. When I travel & need cash, debit to the rescue. Like nearly everything else, it's a calculated risk.

x

Anonymous — Wed, 01 May 2013 01:52:19 GMT

Re: Debit cards are a useless hassle

marty56 — Sat, 05 Jan 2008 11:57:57 GMT

I have used my denot card as my primary metod of payment for over 4 years and while I was in the DMP, it was my only option (except for my gas card).

I had 0 problems, helped keep me on budget and broke me of the habit of getting into debt.

Now when I use any credit card, I first think about the effect on my FICO score, when I can PIF and do I really need to buy the item. My Visa card all watches my debit card's back in case of an emergency.

Re: Debit cards are a useless hassle

Dawn — Sat, 05 Jan 2008 13:24:43 GMT

As others have mentioned, there are times that a debit card meets someone's needs in ways that a credit card does not. After a move (and my reluctance to sever ties to my original financial institution) my only "free" source of cash access was obtaining "cash back" at the grocery store, with debit card purchases. It sure beat cash advances with a credit card that charged transaction fees and did not allow a finance charge grace period for cash advances.

When considering rewards programs, some debit card issuers (Chase is one) are providing rewards programs, but it still doesn't tempt me to switch from my credit card to my debit card. The only thing I use my new debit/ATM card for at this point is to obtain cash at the ATM machine. On a side note, I found it interesting that when we opened the Chase account, we were not allowed to opt out of receiving the card. My husband never uses it, so we shredded his and I guard mine with my life. :-)

For those who don't keep a generous balance cushion in their checking account (and keep meticulous records of their debit card usage) I would suggest shredding their debit card. I'm thinking of the youth in my life who tend to use their debit cards at fast food restaurants multiple times a day and end up purchasing some VERY expensive sodas when their account becomes overdrawn. I would much rather see them use a credit card ... IF ... they can be disciplined enough to PIF on time every month.

Actually ... I would much rather see a system in place that doesn't encourage all of us to use financial payment methods that incease the cost of the merchandise that everyone ends up paying for. Technology is great ... but with everything ... you pay the price for it. :-(

Re: Debit cards are a useless hassle

Anonymous — Sat, 05 Jan 2008 14:52:17 GMT

Seems the debit vs credit card debate is always good for stirring up the pot. We just recently switched from exclusive debit card use (for 10 plus years) to exclusive credit card use (we canceled our debit cards, PIF the CC each month). We did get a couple of ATM only cards for easy access to our cash, but linked the ATM cards to a separate checking account with no overdraft protection. There is no doubt that we are taking the threat of identity theft to the max. And the fact is, it'll probably never be an issue for us. But there is no "cost" to the way we do things now, and it makes me feel better.

krystofur

Re: Debit cards are a useless hassle

CreditDrama85 — Sat, 05 Jan 2008 15:24:54 GMT

i agree that debit cards def can be evil but the point is clearly to avoid having a high cc balance or balance at all, when your cc statment closes.

that is why a lot of people use debit for everyday expenses and credit for purchases over a certain dollar amount.

Message Edited by CreditDrama85 on 01-05-2008 07:24 AM

Re: Debit cards are a useless hassle

Anonymous — Sat, 05 Jan 2008 15:34:48 GMT

CreditDrama85 wrote:
i agree that debit cards def can be evil but the point is clearly to avoid having a high cc balance or balance at all, when your cc statment closes.

that is why a lot of people use debit for everyday expenses and credit for purchases over a certain dollar amount.

Message Edited by CreditDrama85 on 01-05-2008 07:24 AM

Agreed. The problems associated with high credit card debt ~~and~~ are much greater then the current threat of identity theft.

Message Edited by krystofur on 01-05-2008 07:34 AM

Message Edited by krystofur on 01-05-2008 07:34 AM

Re: Debit cards are a useless hassle

rubaty — Sat, 05 Jan 2008 15:47:32 GMT

I have used a VISA debit card since 1995 and have never had any problems. I use it for everyday expenses and use a CC for other purchases. I have 15 major CC's but see no reason to use them all if I have the money in my checking account.

I have lost my debit card before and all I had to do is call the CU and they instantly closed the account and sent me a new card. My VISA debit card affords me the same protections that any other VISA provides. The problem that I have seen people have is that they wait days or weeks before they report the card lost/stolen which is the dumbest thing that you can do!

Re: Debit cards are a useless hassle

Anonymous — Sat, 05 Jan 2008 15:55:09 GMT

To add one more thing: I don't have to worry about what day the statement date is going to drop or if the CCC will report twice a month. I like the convenience of it taking the money out of my account (which that is what it is supposed to do).

I only use CC's to play the FICO game, the rewards are an extra bonus.

Now to the OP, if you are worried about one customers check being returned and you can't cover it, that is a problem within itself, especially with all of the over-draft protections that are out.