O/T: RE: Credit Card v Debit Card

[Maxwell Lol]

And how is it a con? Who is cheating whom? As an end user, I get many benefits.

[FoggyTown]

So you have said, but not explained why.

FoggyTown

[Swingman]

"Maxwell Lol" wrote

Been carrying two debit cards, both business and personal, for 15 years, by preference and in lieu of writing checks/carrying cash, and neither has ever cost me a red cent ... if that's a "con", it's my kinda "con" - CONvenience.

[J. Clarke]

With a debit card I can get money out of my checking or savings account 2000 miles from home at 3 AM. Try that with a check.

[henry]

My Credit card ( Chase business) pays 3% on gas,dinning,,home improvements,office supplies, So its a no brainer to use it and pay in full each month. However I use my debit card each day because my checking account pays 5.12% interest ( 6% this summer) the catch is electronic statements, on line bill pay, and use your debit card 12 times per month( I get $250 interest per month) I used to have to use my ATM/debit card to get cash from ATM machines but now get cash back when using the debit card, an added perk. Both my credit and debit cards have there advantages.

[B A R R Y]

Can you name the bank or credit union?

I'd like to open an account. I'm serious!

[henry]

Rewards checking

[B A R R Y]

Thanks! I'll check it out.

---------------------------------------------

** **

---------------------------------------------

[B A R R Y]

413 area code, Sweeeet... I'm in CT!

---------------------------------------------

** **

---------------------------------------------

[Lew Hodgett]

So you have said, but not explained why.

Perhaps you missed this earlier post:

SFWIW, some interesting info this afternoon on the boob tube:

In the event your card # is stolen and used:

Debit card fraud must be reported within 48 hours to stay with in the $50 liability.

Credit card fraud must be reported within 60 days to stay with in the $50 liability.

There are other differences, but the above is enough for me not to have a debit card.

Sounds like a pretty good con to me.

Again, SFWIW:

If you paper checking account # is stolen and your account is drained, the bank has 3 days to open a new account and replace your money.

I had this happen, trust me it is a total PITA.

I said it once, I'll say it again, a debit card is a method by which the bank limits it's liability by transferring liability to the card holder under the guise of convenience.

I don't know what you call it, but where I come from, that's a con job at work.

Lew

[Maxwell Lol]

Nonsense.

If my wallet was lost/stolen, and it contained a thousand dollars in cash, I'd lose every penny.

With my debit card, I only lose $50. Yet I still have access to my money.

[B A R R Y]

That's my point. My money isn't involved while the details are sorted out.

"It" did happen to me... *Twice* in 2007, $7500 and $1400 worth.

---------------------------------------------

** **

---------------------------------------------

[B A R R Y]

In theory, that is certainly true.

I hear and read lots of stories where banks were not easy to deal with, on consumer radio shows like "The Clark Howard Show", and in consumer help newspaper columns.

Even when the fees are completely refunded, there's still the embarrassment of bounced checks, and the time and hassle of getting the bank to cover the payee's NSF fees.

---------------------------------------------

** **

---------------------------------------------

[Swingman]

"Lew Hodgett" wrote

Monetary "convenience" of any kind most always entails risk ... carrying cash, carrying/using checks, using cards of any type, using a safe, a bank, a mattress or a can buried in the back yard ... all carry risk, some more than others, as you've repeatedly pointed out.

It's a personal decision as to the amount of "risk" you're willing to assume for any of these monetary "conveniences".

From my POV, all your arguments with regard to debit cards are basically nullified by those minimally intelligent/savvy enough to maintain only a balance they are comfortable risking in an account tied to a debit/check card.

While this ain't exactly rocket science, I certainly agree that many, if not most, in this day and age simply can't handle the minimum requirements, and therefore would do well to not even consider debit cards.

[B A R R Y]

Great point, as long as one ensures the bank didn't do you the "favor" of automatically linking your accounts for overdraft coverage.

---------------------------------------------

** **

---------------------------------------------

[Maxwell Lol]

How did they get the information to steal your money? Maybe I'm lucky, and maybe I'm more careful with my debit card.

[Lew Hodgett]

The only amount I'm willing to risk is zilch, thus no debit cards for me.

When a commercial business, especially a bank, wants to give me something, I get very uneasy.

The banks are promoting debit cards for reasons that are in their best interests, not mine.

Lew

[Phisherman]

I hate banks. I deposit a (state-government issued) check and they put it on hold for 5 business days, but if I cash the same kind of check I get my money immediately. Over the years I learned you have to carefully read the bank-policy booklet.

[Swingman]

We all make our choices ... I can carry $300 cash with me at all times at the risk of loss, robbery, difficulty of accountability, and having to deal with pockets full of change; or ...

I can fund/replenish with deposits or online transfers the same $300 in an account to be accessed with a check card, as needed and at NO cost to me, with less risk of loss overall, much less risk of robbery, full tracking as to where the money went, easier accountability for tax purposes than the use of cash, and with less change to add up on the dresser (which somehow always finds it way into the pockets of other family members, costing me more money in the long run). :)

I personally prefer the convenience of the latter ... obviously YMMV.

Banking _always_ costs the consumer money ... to dip their beak in your money is their reason for existence.

It's rare that a fiscally responsible consumer can actually gain the type of convenience that suits him by wisely allocating funds, and shopping banks on terms more favorable than the published federal requirements, and have gain said convenience at no cost to him.

For fun, re-read your plain old checking account agreement. It is written by the bank, in their best interest, and they can unilaterally change the contract at whim, you can only take your business elsewhere.

[Phisherman]

And a risk. Someone can easily get your account number. True, someone can get your credit card number, but I know Discover Card protects me against this. Plus, Discover will generate a one-time use number for online purchases.