Debit cards are transforming how bank clients make purchases of products and services. You don’t need to carry as much cash if you have a debit card. You lessen the necessity of writing checks, producing identification, and waiting for clearance.
Debit cards are also more often accepted than checks, especially when travelling outside of your native country, per research from http://www.gettingaheadassoc.org.
Benefits of using a debit card
Our debit card is more often accepted than checks and safer than carrying cash. ATM withdrawals are made using the same card.
- Quick and simple
- safer than having cash on you
- more practical and secure than checks
- Reduce the price of buying checks.
- Anywhere Mastercard® is accepted, you may make purchases.
- 24/7 use of ATMs to obtain money
Debit card components
The information on a debit card is as follows:
- A 16-digit number is the card number. The card number differs from the bank account number and is unique.
- Date of issuance and expiration: Also displayed is the publication date in the MM/YY format. The same MM/YY format is used to print the expiration date as well.
- The card bears the bank’s emblem, which was used to issue it. Additionally, the emblem that identifies the type of debit card—Visa, Mastercard, or RuPay—is present.
- Customer service NUMBER On the card’s reverse is placed the toll-free number. You can dial this number if you have any inquiries, to report a loss,
- The back of the card has a signature bar, which is available. Once you obtain the card, you must immediately sign the bar. You can avoid fraudulent purchases by doing this. Some retail merchant locations won’t swipe the card until the signature is confirmed.
- The card verification value number, or CVV number, is a special number assigned to each debit transaction. When making an online payment, this number must be entered. It gives the card an additional degree of security.
Things you should know before getting a debit card in Nigeria
You should report your debit card immediately if it is stolen or missing:
If your debit card is lost or stolen, it’s critical to promptly contact the card issuer/bank. Although there is a larger responsibility for debit cards under the law, some cards have implemented a zero liability policy in response to customer worries about liability for fraudulent usage. The zero liability policy is applicable to any transactions made in person, over the phone, or online using your card or account information. ATM transactions, however, are not covered by it.
A debit card is different from a credit card:
Despite having the appearance of a credit card, a debit card functions more like an electronic check. When you use a debit card, you give your bank permission to withdraw money from your account and provide it to the retailer. Just as with a credit card, you make your transaction by signing a receipt. Unlike a credit card, there is no monthly statement and no interest to pay. Your bank account merely reflects the debit.
Debit cards don’t help you develop your credit score:
Although having a debit card is a good idea so you can access your checking account (and let’s face it, we all need cash from time to time), having a debit card won’t help you establish credit or build your credit score. Additionally, it might be challenging to obtain significant loans without credit for starting a business, purchasing a home, or simply renting an apartment.
Don’t loosely tell people your pin or carelessly write it somewhere:
Even though a debit card only has four digits, it effectively serves as an invitation to access your most private and protected information. People advise you to remember this number because of this but never record it on paper. You are also advised against keeping your pin number in your wallet since it raises the possibility that criminals who steal your handbag or wallet would use it to withdraw money from your checking account.
There are debit card fees:
Debit cards often don’t come at a premium price: Both yearly membership dues and cash-advance costs are waived. Although, they don’t always let you totally avoid expenses; You can be charged an ATM transaction fee if you use an ATM that is not owned by or connected to the bank that issued your debit card to withdraw cash.
If you spend more on the card than you have in your account, Charges for insufficient money may apply, just like those for a bounced paper check. You will be charged overdraft fees if you have enrolled for overdraft protection. Also, If your card is lost, damaged, or stolen, you may additionally be charged a replacement cost. If you make a purchase in a foreign country, you may also be charged a foreign transaction fee.