ZaireinHD
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Post by ZaireinHD on Mar 10, 2011 22:31:49 GMT -5
"But my debt card has those protection against fraud" That's true, but if you think you're going to get that money back in your bank account immediately- you got another thing coming and meanwhile your bills are waiting. If my primary credit card gets stolen or lost, I call my credit card company, report it, and whip out my secondary "emergency" card and keep on going. Many credit cards are free (for now) if you don't carry a balance, which is what we die hard credit card users avoid. YM I have sinned... I keep a balance every month on every credit card
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azphx1972
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Post by azphx1972 on Mar 10, 2011 22:32:48 GMT -5
My Credit Card.....I just know is expensive and charges me a higher interest. But my debt card has those protection against fraud and I DON"T get charged any interest - it's like the opposite of you on CC for me on my debt card I'm gonna call my credit card to see what are the benefits?? If you pay your credit card statement balance off in full each month, you won't get charged interest either. I use my credit cards because of the cash rebates and the fraud protection. Your debit card may have some sort of protection, but it takes time to get money put back into your checking account, and usually by then other legitimate charges may have hit and bounced. Also, good luck trying to rent a car or reserving a hotel room using a debit card. Edit: I see others have beaten me to the punch. Too slow I guess.
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Malarky
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Post by Malarky on Mar 10, 2011 22:43:36 GMT -5
"I don't understand how all of you DON'T use it?" We get better rewards with our credit card, an interest free 30 day loan, additional protection against theft since a stolen credit card won't lead to an empty bank account, and keep our bank statement clean. My credit card has a bunch of other benefits like reimbursement for lost luggage, faulty merchandise, car rental insurance, etc. I love my credit card. It's really amazing that it offers so much and doesn't cost me a thing. ETA- for now anyway... THIS. As opposed to having funds potentially held while getting gas...
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TheOtherMe
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Post by TheOtherMe on Mar 10, 2011 23:07:11 GMT -5
I never carry cash. My Chase debit card I always use it as a credit card because I get airline miles by using it. The only time I had a problem with a debit card (not the Chase card), it was the bank's fault and they put the money back in my account in 24 hours. They ran a charge through 129 times. I write one check a month--for my mortgage. Haven't figured out if I can pay it online. I don't like putting this on credit cards and I'm not going back to check writing. I much prefer debit cards, but I rarely run them as a debit. 99% of the time, I use it as a credit card.
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ZaireinHD
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Post by ZaireinHD on Mar 10, 2011 23:29:02 GMT -5
If you pay your credit card statement balance off in full each month, you won't get charged interest either. I use my credit cards because of the cash rebates and the fraud protection. Your debit card may have some sort of protection, but it takes time to get money put back into your checking account, and usually by then other legitimate charges may have hit and bounced. Also, good luck trying to rent a car or reserving a hotel room using a debit card. LOL - nooo my balances are to high to pay off at the end of the month. I keep paying one of three off but then it get charged back up. O Well YES - I USED to have that problem using a debt card for hotel and car rental but NOT any more. especially since I use the same places for business over and over they just charge my debt card. NOW if I go to a new place....well when I went to Brazil I used my second debt card for that hotel - no questions asked
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ZaireinHD
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Post by ZaireinHD on Mar 10, 2011 23:40:40 GMT -5
I was gonna start a subject over on Everything Else section subject 'nothing matters anymore' In my world no one is held accountable anymore! no one says 'who's responsible for this..." I USED to be asked over the phone is this a debt card sir? no we can't use debt to reserve your car rental. Then it turned to "we have to place a $250 PENDING charge on your debt card until the final charge goes through and you'll be charged that amount" Then it went to 'what's your credit card number - ok your reservation number is' I just looked at my two debt cards and the word 'debt' is on the cards but in small print next to the visa/MC logo It USED to be written across the top of the card "THIS IS A DEBT CARD" and at the counter the rep would say NO you can't use this card.
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Post by dragonfly7 on Mar 11, 2011 0:51:21 GMT -5
I was taught how to fill out a check and balance a checkbook in high school. Good thing, too, because my first bank didn't have debit cards yet in 2001.
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NastyWoman
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Post by NastyWoman on Mar 11, 2011 0:55:24 GMT -5
I'm in the process of switching my checking account from B of A, even though they've done just fine for 7 years, to an account at BankDirect which pays a tiny interest rate (half a % per year) and AA miles (100 miles for every $1000 average balance per month). It will be interesting to get out of bricks-and-mortar banking but so far I've been pleased. Have to check into that. This could mean major miles for me annually. Thanks for sharing
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runewell
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Post by runewell on Mar 11, 2011 1:21:48 GMT -5
It will be interesting to get out of bricks-and-mortar banking but so far I've been pleased. I use Wells Fargo, it's covnenient having one less than a mile down the street, but I go there as little as possible. I did have Netbank years ago, they would actually reimburse you for ATM charges since they didn't have brick & mortar places. Having a bank nearby is a little more convenient, but if you can get a little bit more interest out of your checking you should at least break even on any inconvenience or fees. I could probably count the number of checks I write this year on one hand. Even my regular church donations are automated now.
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runewell
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Post by runewell on Mar 11, 2011 1:23:16 GMT -5
I write one check a month--for my mortgage. Haven't figured out if I can pay it online. I'll bet money that you can.
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cronewitch
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Post by cronewitch on Mar 11, 2011 1:29:50 GMT -5
I seldom use a debt card it is just too risky. One store doesn't take credit cards and Costco gas only takes debit or gift cards. I see a major risk in that if you make a single error on your bank account like depositing a check that wasn't signed or direct deposit not going in because the internet at work was down and you might bounce a dozen debit before you notice.
I use cash for little things and credit for big things or when it is easier like at gas stations.
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lynnerself
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Post by lynnerself on Mar 11, 2011 1:39:32 GMT -5
Aren't checks being used in whole different ways now? I have had them used as just like a debit card and then returned to me. I'm also pretty sure my grocery store is getting the money out of my account as soon as they accept my check.
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sapphire12
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Post by sapphire12 on Mar 11, 2011 2:50:45 GMT -5
This rule really wouldn't affect me as I use my cc for large purchases now. The cc is paid in full so no interest payments. The debit card is for smaller charges that I don't need the benefits of the credit card.
As written, this rule implies that those with bad credit would be the most affected as they have limited, if any access to credit cards.
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daisylu
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Post by daisylu on Mar 11, 2011 5:08:45 GMT -5
I think the CNN article is missing a big point about debit cards. With most debit cards, the transaction can be run as a debit (with PIN) or as a credit card (if your debit card has the VISA or MC logo). All that a $50/100 cap on debit transactions would do is force the merchants to run the transaction through the credit card function (since the CC interchange fees are not capped). There is no reason for Chase or other banks to limit the purchase amount when using your debit card as a CC, since by using the CC instead of debit interchange, they get around the new 12 cent fee limit. I think in the end, the consumer isn't going to notice much difference (unless they have a debit card without the VISA/MC option). It's the merchants, who stood to benefit from the cap on fees, who are going to have to switch larger transactions to credit and pay the higher processing fees. The first full paragraph states:
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xia
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Post by xia on Mar 11, 2011 7:16:12 GMT -5
Wow I don’t like this one bit. I never carry cash and don’t even think I have any checks left for my checking account (have not wrote one in years). I use my debit card for everything.
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tractor
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Post by tractor on Mar 11, 2011 9:50:44 GMT -5
I use my debit card all the time (several times a day) and I haven't carried cash for many years. I have been trying to switch over to using my credit card more just to take advantage of the rewards, but it's hard to do as I have always felt that if I use my debit card, I won't have a credit card bill to deal with. If the fee's start to go up, it will be easier to make the switch.
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resolution
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Post by resolution on Mar 11, 2011 10:33:05 GMT -5
I lost the big debit card fight shortly after my marriage, so we don't have one. DH is convinced that someone would find a way to steal all our money. I had to get a second credit card as a backup in case my main credit card gets rejected.
I would imagine that some of the debit card customers would switch fully to credit cards or just go back to checks. Stores have a scan system that compares the person's name and other info to a bad check database to reject anyone that has written a bad check. They can also process the checks electronically just like a debit transaction so I don't see a lot of risk for the stores in taking checks. God knows I always end up behind someone writing a check (very slowly) and they never seem to fill out the name of the store before the total is rung up.
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Gardening Grandma
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Post by Gardening Grandma on Mar 11, 2011 11:56:12 GMT -5
I'm in the process of moving our checking account to a credit union. They have a deal that if you use the debit card 12 time/mo (and have one auto deposit), they will pay 2.5% interest (up to the first $10K) on your checking account. I keep our short term reserves in the checking account both for convenience and as a cushion, so it's a pretty good deal.
But most of my debits are pretty small. Most of the time I use our rewards CC. I WILL have to pay attention to the ins and outs when this gets sorted out.
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TheOtherMe
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Post by TheOtherMe on Mar 11, 2011 17:22:38 GMT -5
I'm in the process of switching my checking account from B of A, even though they've done just fine for 7 years, to an account at BankDirect which pays a tiny interest rate (half a % per year) and AA miles (100 miles for every $1000 average balance per month). It will be interesting to get out of bricks-and-mortar banking but so far I've been pleased. I will have to check in to this, as where I live now has American only at the closest airport. I graduated high school in 1969 and nobody taught me how to write checks or balance a check book. I figured it out on my own.
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spartan7886
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Post by spartan7886 on Mar 12, 2011 17:38:00 GMT -5
I write one check a month--for my mortgage. Haven't figured out if I can pay it online. I'll bet money that you can. I can't pay my mortgage online unless I'm willing to open up a savings or checking account with them. For the price of one stamp a month, it's not worth the hassle. On topic, I'm in the same place as most people here. All credit card, so this won't affect me at all.
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midjd
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Post by midjd on Mar 12, 2011 20:51:00 GMT -5
I just got a letter from Chase today letting me know that as of 7/19/11, my $25/yr debit card will no longer offer rewards. But on the upside, they're giving me a $9 refund on the card fee, since I'm paid up through October I barely used the card enough to justify the fee, so not too distressing. If I didn't have the 2 rewards CCs I'd be upset, though.
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