If you believe that a credit card is a lot safer to have with you than a debit card, you have to think again. Sadly, most people are of the opinion that credit cards are better than debit cards. That a credit card has a better track record, and that one is less likely to lose all money through theft compared to when one has a debit card. Alas, these people are very wrong. Why? For one, a debit card will force you to buy something only if you have enough money. This isn’t the case with a credit card meaning you will be carrying a higher risk of incurring a huge debt.
If you have a debit card from recognized names such as MasterCard or Visa, the card will come with the same policy regarding unauthorized charges the same way credit cards do. You shouldn’t be fooled, or fool yourself therefore, into thinking that credit cards are your ‘safest’ option. A credit card will only ‘tempt’ you to buy something and force you to make the payments later on.
Because a debit card is directly associated and linked to a bank account, it is the surest way to buy something without having to incur any debt. Logically, you incur debt due to late fees, interest charged on using the credit card, over-the-limit fees, and annual fees, something which you can avoid since when you use a debit card, money gets withdrawn immediately from your bank account. A debit card is also advantageous as you wouldn’t want to carry cash around or write a check every time to you want to shop or pay for something.
The following are 4 great tips to apply when using and handling a debit card for safe use.
- Always watch your debit card and ensure it is within your sight at all times because once it leaves your view, anyone with information of the card can access the account and steal your money.
- Ensure you are up-to-date with your account transactions by checking your bank statements regularly, preferably on a daily basis through the internet. You should however ensure the internet connection is secured before keying in your private information. In case of any suspicious transactions, be sure to report to your bank immediately.
- Be wary of card-swipers as the latest scam has criminals attaching a ‘skimmer’ to a card swiping device thereby getting access to all personal information of every card used on the device. If a card-swiper looks suspicious, it probably is, you don’t want to risk all your savings. Also, never use an unbranded Automated Teller Machine.
- Request for a credit report at least once a year, which comes for free from any of the three known consumer credit reporting companies. If you ever suspect a fictitious transaction on your debit card, be sure to report it immediately to the credit bureau. Regular monitoring of a debit card reduces chances of fraudulent activities.
