Debit card can also be called ATM card. Because generally people use it only to withdraw money from ATM. There will be very few people who use it for shopping etc. frequent people for shopping etc. Credit Card etc. use. Just as money is important for human life, similarly the means to manage money are also very important for human life.
Money transactions are still mostly done in cash in India, which is why people need to withdraw money from their savings account frequently. The card used by you to withdraw money from ATM is called Debit Card or ATM Card.
Debit card is used for performing your regular financial tasks, but you remain unaware of its features, advantages, disadvantages, differences between credit and debit cards, etc. That is why today we will try to give all that kind of information about Debit Card through this article of ours. which may be necessary for you.
What is Debit Card
A debit card is a card made of solid plastic, which is issued by a bank to its customer who has a savings account with his bank. This card is linked with your savings account. So whenever you use it to withdraw money from ATM, make some purchase from any outlet or for online shopping, the money is automatically deducted from that account. The account to which that debit card is linked.
Debit cards are issued by banks in association with various payment service systems such as RuPay, Mastercard and companies such as Visa. Such cards have 16 digit numbers known as card numbers and are used during online shopping. The card expiry date and 3 digit CVV number is required to complete the online transaction through this card. Apart from this, OTP also comes on the number registered with the bank to confirm the transaction.
What are the benefits of Debit Card
Debit card has not one but many benefits, some of them are listed below.
- It is very quick and very easy to use.
- There is a fear of money being stolen while traveling or traveling while it is much more secure than keeping cash.
- This allows for much faster payments than cheques.
- You can buy anything from anywhere. Presently most of the stores have started accepting payment through card swapping.
- The problem of loose money while shopping can be avoided as you will pay only for what you have made purchases.
- Most ATMs are open round the clock, so you can withdraw money from ATMs round the clock with Debit Card.
Debit Card Features
The features of a debit card are as follows.
- These are secured with a four-digit PIN that you set yourself and this PIN is mandatory for transactions like ATM withdrawals, etc.
- It is linked with your savings bank account or salary bank account etc., so whenever you use your debit card. The money used is automatically deducted from your account.
- Bank issues debit cards only to those who have an account with the bank.
- Some banks also provide you a compensation cover of Rs 75 thousand to two lakh or more in case of debit card theft etc.
- Each card comes with a 16 digit number, three digit CVV and expiry date.
Debit card type (Types of Debit card in India):
Generally in India, Debit Card is known as the payment platform associated with it. For example, if the payment platform is RuPay, then it is known as Rupay Debit Card. So their type depends on the payment platform. But the types of debit cards issued by most of the banks in India are as follows.
visa debit card
Visa is an American multinational financial services company, and currently it is a well-known and popular payment platform not only in India but across the globe. Visa Debit Cards are accepted internationally for almost all online and electronic transactions. These Debit Cards of this type are issued by those banks which have tied up with an American multinational company called Visa. Banks also provide overdraft facility to such card holders.
mastercard debit card
Like Visa, MasterCard is also a payment platform, also an American multinational financial services company. You can also use this type of Debit Card online or offline all over the world. You can also easily access your account through the secure code issued on this card. The OR payment platform is quite popular for its excellent customer support and service.
rupay debit card
This payment platform is developed in India itself. It is developed and issued by National Payment Corporation of India under the Domestic Debit Card Scheme. At present, this type of debit card is accepted only at the domestic level i.e. in India, but in future this debit card can also expand its scope. You can use RuPay Debit Card for retail store and online purchases.
contactless debit card
Contactless Debit Card means a debit card that can be used in the machine without any swap. To pay with a normal debit card, you need to swap that card in the machine, whereas contactless cards can also be used by simply waving it near the machine.
With this type of debit card, you can complete the transaction process at a very fast speed. These cards work on Near Field Communication or Radio Frequency Identification technology.
how to get debit card
However, at present, when you are opening your account in the bank, then only you are asked to fill the form related to Debit Card. And then after a few days your debit card is also delivered by the bank at your given address.
But if you have an account in the bank but you do not have a debit card or ATM card. So you can apply for it by visiting the branch of that respective bank. Those who use internet banking or mobile banking can also apply for their debit card online. But keep in mind that the same bank will issue the debit card to the bank in which you have an account.
Question – How does a debit card work?
Answer – Debit card is linked to your account so whenever you withdraw money from ATM or make payment for purchase, this money is directly deducted from your account.
Question – Do banks charge a debit card issuance fee?
Answer – Yes, some banks charge an annual fee for this, and also levy a charge for using the debit card more than a limit at any other ATM.