Who has gotten rid of debit cards?

[mpeirce]

The only debit card we use is the one connected to our HSA. We use it to pay the dentist and the pharmacy and the deductible at the doctor's office.

 

[Chuckanut]

I have never used my debit card for purchases of any kind. Security and transaction protection being the prime reasons. I have always paid off CC's monthly.

I only use it at an ATM for cash.

+1

I am in agreement with CardsFan.

Debit cards are much riskier compared to credit cards. You have far fewer rights if the card is misused or you don't what you paid for Besides I get cash-back on my credit cards - a minimum of 2% often up to 5%. I use the debit card strictly for ATM withdrawals.

 

[ITTN]

We never have had a Debit card. I just checked with my Credit Union, our ATM card is only an ATM card.

 

[OldShooter]

I think the issue of debit card risk verges on being an OWT. While it is true that statutory protection from credit card fraud is stronger than debit card protection, I think that virtually every debit card issuer indemnifies their customers. For example, Schwab's protection is very simple: "Schwab will cover 100% of any losses in any of your Schwab accounts due to unauthorized activity." I am completely comfortable with that.

I use my (Schwab) debit card and my (one) credit card regularly. As mentioned, I too use the debit card with all ATMs worldwide. I actually don't have very strict rules about which card to use; the Visa is automatically paid off every month, so other than the $49 annual fee it is pretty much interchangeable with the debit card. One advantage of carrying two cards was underlined for me last week when the CC company detected a fraudster using my CC number. They immediately froze the card and sent me a replacement. So while waiting those few days I had the debit card for payments.

DW also carries a debit card and a credit card, both with different issuers than mine. That is an insurance policy against discovering in some far-away country that a card is being denied. This happened to us once and it was pretty much a non-event. We have also found that overseas ATM problems have declined over the last decade to approximately zero, even in third world countries like Vietnam, Ethiopia, and Myanmar.

I should worry more about points but the fact is I don't. I just cash them at a penny a point as an account payment on the Visa card.

Short version: I don't consider this question to be a very big deal.

 

[Bamaman]

You guys are right about having legal rights under credit cards that you won't have on ATM cards.

I have auto and homeowner's insurances charged to my Capital One Visa card, and we use it for non-Amazon purchases. But I do use the ATM for day to day expenses like gas, groceries, etc. I could and should move everything over to the Visa card, but I honestly don't know how I could cash flow any more in order to pay such a Visa bill completely.

In retirement, it's often not a matter of having the money. It's having the right cash flow at the time bills need paid. When RMD's begin, the cash flow will improve.

 

[badatmath]

My bank refused to give me an ATM only card so they agreed to set my debit charge limit at $1. It only goes in the ATM.

 

[ncbill]

The only debit card we use is the one connected to our HSA. We use it to pay the dentist and the pharmacy and the deductible at the doctor's office.

+1

I had forgotten about ours.

One can also add the HSA card to their Amazon account & use it to pay for medical items.

 

[CardsFan]

I think the issue of debit card risk verges on being an OWT. While it is true that statutory protection from credit card fraud is stronger than debit card protection, I think that virtually every debit card issuer indemnifies their customers. For example, Schwab's protection is very simple: "Schwab will cover 100% of any losses in any of your Schwab accounts due to unauthorized activity." I am completely comfortable with that.

You may be correct, but with a debit card, the money is gone from your account until the card company credits it back. With credit card, you simply dispute the charge. No money leaves your hands.

Several years ago a friend of ours had his checking account virtually cleaned out (to the tune of around $5,000) by fraudulent use of his debit card number. It took a week or two but the bank made it right, however, he only discovered the fraud when checks started bouncing, so he had that mess to deal with.

 

[HenryD]

I don't carry my debit cards at all. ATM withdrawals and large check deposits can be done with my phone app at the machine. Small check deposits done from home with the same phone app. Google Pay on the phone when I can (mostly pay at the pump, but some stores), otherwise physical credit card when I have to. Never debit card, almost never cash any more.

 

[brett]

We use credit card extensively.

We only use our debit card when we absolutely have no other choice. Once every two or three years at most. And never when we out of the country.

 

[audreyh1]

My Schwab Bank ATM card is the only one I have that is also a debit card. I have been able to use this card overseas when my credit card was not accepted. (Some places, fewer and fewer, still did not take foreign issued credit cards when I was traveling extensively.) I keep a relatively low amount of cash in this account so do not worry about it too much.

Right, it’s been a good backup for me overseas, although rarely needed nowadays.

I remember that the French train company SNCF would not accept US credit cards at their kiosks, and at times, the desk lines were just too long. But it accepted my debit card. And crazily didn’t even ask for a PIN! So I didn’t have to worry about my PIN being stolen, lol! There must have been some maximum purchase amount limit - these were cheap train tickets.

 

[MichaelB]

You may be correct, but with a debit card, the money is gone from your account until the card company credits it back. With credit card, you simply dispute the charge. No money leaves your hands.

Exactly. It’s not such a big deal until the money is missing from the account, then it is.

Right, it’s been a good backup for me overseas, although rarely needed nowadays.

Patience, audreyh1, soon enough y’all will be traveling again.

 

[audreyh1]

We have a chipped debit card. It has to be used with a pin number.
I have notifications from the bank set on the lowest settings.

We have never had any problems with it.

I should add that we made sure our debit cards had chips to use them in overseas ATM machines.

 

[audreyh1]

Patience, audreyh1, soon enough y’all will be traveling again.

Well, of course I meant the last couple of years when I did get to travel in Europe.

 

[Nemo2]

ATM machines.

Is there an echo in here?

 

[OldShooter]

You may be correct, but with a debit card, the money is gone from your account until the card company credits it back. With credit card, you simply dispute the charge. No money leaves your hands.

Several years ago a friend of ours had his checking account virtually cleaned out (to the tune of around $5,000) by fraudulent use of his debit card number. It took a week or two but the bank made it right, however, he only discovered the fraud when checks started bouncing, so he had that mess to deal with.

I just don't think that risk is high enough to worry about it. DW also has her own checking account at a different bank so she could cover me.

As far as how long it would take Schwab to credit the money back, I'll assert that neither you nor I know that answer. Worst case I guess I might transfer $$ from one of the investment accounts to the checking account but I do that every few months anyway.

I would be interested to see some numbers on the rate people experience debit card fraud.

 

[Buckeye]

I have never used my debit card for purchases of any kind. Security and transaction protection being the prime reasons. I have always paid off CC's monthly.

I only use it at an ATM for cash.

+1

 

[FANOFJESUS]

There must be millions of Dave Ramsey folks using them everyday I don't but I respect that. Dave carries two on him and cash.

 

[mpeirce]

There must be millions of Dave Ramsey folks using them everyday I don't but I respect that.

I know my DF uses his debit card rather than a credit card. He repeatedly got into trouble with credit cards.

Every now and then he notices some "good deal" on a credit card and asked me about it. It may have been a good deal, but not for him.

 

[MrsHaloFIRE]

+1

 

[ExFlyBoy5]

As others have mentioned, I too only use the debit card to get $$$ overseas. My SOP has been to transfer however much I think I might need. *if* I make a withdrawal, I will then immediately cancel the card and request a new one.

However, in practice...we mainly use CCs overseas and bring more than enough cash so I can't recall the last time I used a debit card stateside -or- overseas.

 

[bada bing]

I bank at Wells Fargo and they use their issued debit cards and pin as the preferred identification method for in-person visits. Every teller station has a card reader keypad. I carry my debit card for the rare need to stop in the branch. I've never used it for purchase. I juggle 3 credit cards for daily spending based on rewards category.

 

[Walt34]

I've never had a debit card, only credit cards and an ATM card for when I want cash. The consumer protections on a cc are far and away better than a debit card.

 

[TexasPE]

Upon request my back gave me an ATM card, rather than a debit card. Eliminated the worries of someone appropriating it. Purchases are on a cc card - better protection against phishing, false charges.

 

[Sunset]

I use CC all the time to buy stuff, never a debit card.

Debit card is used overseas for fee free ATM withdrawals and here for deposit/withdrawal at ATMs.

Besides the better legal protection a CC offers, the main reason I use a CC instead of a debit card is over the past 4 yrs, I have on average cashed in my rewards for $1,650 per year. That's $6,610 in the last 4 years !

My debit card never paid me a penny.