You Can Avoid Debts and Stay Within Your Budget ? If You Know How To Use Debit Cards Wisely.
Studies indicate that most people prefer debit cards over credit cards. This is not surprising considering the fact that debit cards are easier to get and are generally safer and more convenient to use. With the responsible use of debit cards, you can keep yourself within your budget, stay away from debt and avoid paying the extra charges associated with credit cards.
Some Useful Tips to Consider When Using Your Debit Card
Make it a habit to check your account balance. Debit cards draw money from your checking account so you need to check your account balance regularly to avoid having your transaction declined and/or pay overdraft fees (in cases where the merchant does not automatically check a balance before authorizing payment). Consider checking your account balance online (if your bank provides this feature) and keep a record of all your transactions to avoid these problems.
Keep your card safe. Always keep your card with you. Keep it in your wallet or purse when you are out and avoid putting it loosely in your pocket or jacket. Make sure you put it in the same place in your wallet every time so you will immediately know if it is missing. You should also keep it hidden in a safe or drawer when you are not using it.
Memorize your PIN. Don’t write it down. For maximum safety, use a PIN that is difficult to decipher and don’t let anyone else know about it.
Never give your debit card number over the phone. Refrain from giving your card details over the phone unless you initiated the call and are certain that the person you are talking to is legitimate.
Be vigilant. Check your monthly debit card statements and report any unauthorized transactions to your bank or financial institution. Report any lost or stolen cards as soon as you notice that they are missing (preferably within two days after the incident). This is extremely important since it is difficult to recover any fraudulent charges made using your debit card.
Destroy old cards. Make sure to destroy your old cards if you do not intend to use them anymore or if you receive a new card in the mail. This can help you avoid some serious problems down the road.
While debit cards do not offer the same online payment protection as credits cards do and may also restrict your spending to a certain degree, it cannot be denied that the benefits far outweigh the limitations. Is it about time you consider using them? You decide.