Who has gotten rid of debit cards?

[carty1]

...Makes absolutely no sense to use a debit card unless you have absolutely zero self control when it comes to money.
...

Not true. Many banks issue debit cards to be used at ATM's. You don't want to use your credit card for an ATM withdrawal.

 

[Out_the_Door]

put me in the "never had a debit card" camp. I charge everything. I bought a 79 cent item and charged it. I only use cash at my local donut shop and my barber.

 

[rk911]

put me in the "never had a debit card" camp. I charge everything. I bought a 79 cent item and charged it. I only use cash at my local donut shop and my barber.

i don't charge those types of things. i pay cash, generally, for items $5 or less or at places where CCs aren't accepted, my barber for one. and we always tip in cash. but lately i've also been paying cash at locally owned small businesses.

our weekly pizza place recently asked that we pay cash and offered a discount. the CC processing fees must've been eating (no pun intended) them alive. the owner confessed that he's been paying bills and the few employees still working out of savings. i declined the discount, paid cash and included a very healthy cash tip. over the years it's just become second nature to pull out the CC.

so i now pay cash at locally owned small businesses and will continue to until normal times return. many of the big box stores here have signs at the checkout notifying shoppers that CCs or debit cards are prefered so we still use our CC at those places.

 

[OldShooter]

.. Better run that search again!

I look for data, not anecdotes.

An anecdote from 3 years ago telling only one side of the story is really not useful in assessing the real risk, even without considering that the victim didn't detect or report the problem for months.

Did you find any actual data? Like frequency of debit card fraud? Like frequency of customers not being made whole by their banks?

 

[meierlde]

Probably I already was doing that to get free checking.

The only real issue I had with sexism in banking, was when I bought my first house. I applied for my loan through the real estate agent instead of going into a bank, and since I was an ideal customer, with a down payment, sufficient salary, savings, no debt, excellent credit and a unisex name that could easily have been male, there were no hiccups getting that 13.75% loan (groan).

But when I called the bank, about 3 weeks in, to find out the closing date, and they heard a young woman's voice, the next thing was a call back saying I needed a co-signer. The bank suggested "your father," which was not only sexist but futile. My dad wouldn't have cosigned a loan for Jesus himself.

Back in 1972 I just got a credit card from Boa in Ca with a student id from Caltech.

 

[RenoJay]

You can stop using your debit card, but don’t get rid of it. I primarily use one credit card and have kept two in the drawer for 10-15 years as back ups. My credit history is perfect and nothing changed with my financial situation, but this year the banks behind my two back up cards suddenly decided to cancel them with no notice to me, thereby reducing my available credit by $150k. The point is, even if you do everything right, you’re at the whim of the banks with credit cards, but I suspect this kind of surprise wouldn’t happen with a debit card since it’s not extending credit to you and therefore wouldn’t be a liability on a bank’s balance sheet.

 

[Texas Proud]

I keep & use debit cards for
- HSA eligible purchases
- Buying groceries at stores that are debit-card-only
- Buying gas, saving 5 cents per gallon
- Getting cash back at Krogers/Target

Interesting, but I do not have these issues come up in my life...


Except for gas... and I get 5% back with my Sam's club CC... so get more back for any gas priced over $1...

 

[FANOFJESUS]

You can stop using your debit card, but don’t get rid of it. I primarily use one credit card and have kept two in the drawer for 10-15 years as back ups. My credit history is perfect and nothing changed with my financial situation, but this year the banks behind my two back up cards suddenly decided to cancel them with no notice to me, thereby reducing my available credit by $150k. The point is, even if you do everything right, you’re at the whim of the banks with credit cards, but I suspect this kind of surprise wouldn’t happen with a debit card since it’s not extending credit to you and therefore wouldn’t be a liability on a bank’s balance sheet.

You bring up a good point that I had not heard of before.

 

[CardsFan]

I look for data, not anecdotes.

An anecdote from 3 years ago telling only one side of the story is really not useful in assessing the real risk, even without considering that the victim didn't detect or report the problem for months.

Did you find any actual data? Like frequency of debit card fraud? Like frequency of customers not being made whole by their banks?

I am not Paulz, but I have run several searches. It seems that there is little data that separates CC fraud from DC fraud. And, there are so many numbers out there on frequency, I am not going to quote any.

That said, if my CC gets compromised I dispute it, never pay it, get a new card, and all is done in 3 days (including the time to Fedex the new card).

If your DC is compromised, the effort and time you will go through are probably greater. Will you get your money back? Probably. But it is gone until you do.

You are right. The risk is very low. Do you feel Lucky? Well do you?

 

[OldShooter]

... You are right. The risk is very low. Do you feel Lucky? Well do you?

IMHO if I worried about all the negative events with this low level of risk I would never leave the house. So, yes. I feel that I am lucky enough that I don't worry in the least about carrying or using a debit card with a fraud protection guarantee.

 

[harllee]

Not true. Many banks issue debit cards to be used at ATM's. You don't want to use your credit card for an ATM withdrawal.

I have an ATM card that only allows withdrawals from the ATM machine--it is not a debit card, it is just an ATM card. I don't want a debit card.

 

[FANOFJESUS]

I have an ATM card that only allows withdrawals from the ATM machine--it is not a debit card, it is just an ATM card. I don't want a debit card.

My credit union is doing away with ATM only cards. I think many other credit unions and banks are to.

 

[CardsFan]

IMHO if I worried about all the negative events with this low level of risk I would never leave the house. So, yes. I feel that I am lucky enough that I don't worry in the least about carrying or using a debit card with a fraud protection guarantee.

You are quite correct. We all need to assess the risks we are willing to take, and then act accordingly.

 

[harllee]

My credit union is doing away with ATM only cards. I think many other credit unions and banks are to.

I am glad my bank is not doing away with them, I don't understand why they would do that. If they do I will just move my business elsewhere.

 

[scrabbler1]

You can stop using your debit card, but don’t get rid of it. I primarily use one credit card and have kept two in the drawer for 10-15 years as back ups. My credit history is perfect and nothing changed with my financial situation, but this year the banks behind my two back up cards suddenly decided to cancel them with no notice to me, thereby reducing my available credit by $150k. The point is, even if you do everything right, you’re at the whim of the banks with credit cards, but I suspect this kind of surprise wouldn’t happen with a debit card since it’s not extending credit to you and therefore wouldn’t be a liability on a bank’s balance sheet.

This was more common about 10 years ago, in the wake of the 2009-2010 financial meltdown. I had two CCs canceled by banks (due to inactivity). I hadn't used them in years, so it had no effect on me. I still have my main card and a back-up card (which I use just often enough to keep the account open), the latter I don't carry around with me. My DC acts as the back-up card I carry with me, in case something goes wrong with my CC while I am out.

 

[JoeWras]

I have an ATM card that only allows withdrawals from the ATM machine--it is not a debit card, it is just an ATM card. I don't want a debit card.

My credit union is doing away with ATM only cards. I think many other credit unions and banks are to.

That's the impression they give, but in the fine print, you'll see you can still ask for an ATM-only card, in most cases.

My C.U. pressured me for a decade to get rid of my ATM card and replace it with a debit. I declined their offer. I still have an ATM card which was just recently renewed.

Remember: debit cards are good for the banking institution. 1) They get a hidden kickback on each transaction, just like a credit card and 2) The money is out of your account pronto so they don't have to pay interest.

 

[FANOFJESUS]

That's the impression they give, but in the fine print, you'll see you can still ask for an ATM-only card, in most cases.

My C.U. pressured me for a decade to get rid of my ATM card and replace it with a debit. I declined their offer. I still have an ATM card which was just recently renewed.

Remember: debit cards are good for the banking institution. 1) They get a hidden kickback on each transaction, just like a credit card and 2) The money is out of your account pronto so they don't have to pay interest.

True. I have a debit card. The one thing I do to make it safe it put my money in the saving account not checking. The card only pulls from checking using the numbers on it. Peace of mind if I lose it.

 

[JustCurious]

I am glad my bank is not doing away with them, I don't understand why they would do that. If they do I will just move my business elsewhere.

You will find a smaller and smaller pool of banks and credit unions to which to move your business. I have run into this issue too. The work around I have come to is having a debit card that is connected to the Visa network (because I had no choice, there was no ATM only card available) but setting the point of sale limit at $.01 so that the card cannot be used for purchases.

 

[harllee]

You will find a smaller and smaller pool of banks and credit unions to which to move your business. I have run into this issue too. The work around I have come to is having a debit card that is connected to the Visa network (because I had no choice, there was no ATM only card available) but setting the point of sale limit at $.01 so that the card cannot be used for purchases.

No problem so far-- I have a bank account and a credit union account and have ATM only cards with both.

 

[Gumby]

You can stop using your debit card, but don’t get rid of it. I primarily use one credit card and have kept two in the drawer for 10-15 years as back ups. My credit history is perfect and nothing changed with my financial situation, but this year the banks behind my two back up cards suddenly decided to cancel them with no notice to me, thereby reducing my available credit by $150k. The point is, even if you do everything right, you’re at the whim of the banks with credit cards, but I suspect this kind of surprise wouldn’t happen with a debit card since it’s not extending credit to you and therefore wouldn’t be a liability on a bank’s balance sheet.

I charge one thing each year on each of my backup credit cards, just to keep them active so the bank won't cancel them.

 

[scrabbler1]

I charge one thing each year on each of my backup credit cards, just to keep them active so the bank won't cancel them.

This is what I do with my one back-up credit card. It's a small charge, and it's an automatic charge, so I don't have to remember to do it every year. I just get a bill once a year to pay it. And it keeps the account open

 

[yakers]

Back in 1972 I just got a credit card from Boa in Ca with a student id from Caltech.

But the CITFCU would issue one I’m sure

 

[yakers]

My credit union is doing away with ATM only cards. I think many other credit unions and banks are to.

Wells Fargo will not issue an ATM only when I asked

 

[JustCurious]

No problem so far-- I have a bank account and a credit union account and have ATM only cards with both.

I get the impression that some banks and credit unions are doing away with ATM only cards for new customers and new accounts, but are allowing existing customers with ATM only cards to be "grandfathered." So you may have a harder time finding a bank or credit union who will issue an ATM only card if you are shopping around as a new customer.

 

[Rex]

As other's have stated....

We use the debit card as our ATM card.....And it looks like in 2020 we hit the ATM 10 times for a total amount of $800.

The barber shop and the beauty parlor seem to be the only establishments requiring cash for us this year.

In previous years when we did the thing called "travel", I recall hitting up the ATM and then visiting the teller to get tip (ones) money. Can't wait to do that again!

Everything goes on the credit card because we get free money (points converted to cash) for using the credit card.

Simple.