The majority of Americans today have debit cards. They’re just too convenient, simple, and affordable to use. From online purchases to quick paying at the gas pump, there are plenty of uses for them. But while most people associate the debit card with a checking account at a local or national bank, the truth is that there are many other kinds of cards available today. Each one has its own benefits and drawbacks, and the use of some may actually surprise you. Learning more about the various kinds of alternate debit cards can help you understand more about their many uses and applications.
One of the most common types of alternate debit cards is the payroll card. This is essentially a type of card in which a company places an employee’s pay into a special account on every payday instead of cutting them a check or direct depositing their wages into their own personal account. The employee will be able to use the card however they like and the money will come directly out of the account. It’s normally used in instances where workers don’t have bank accounts of their own but still need a way to be paid, all the while taking advantage of what debit can offer them.
Government based debit cards are also commonly issued to those who qualify or need them. These include unemployment cards and food stamp cards which are recharged when needed. In the case of food stamps, they can only be used for approved products while unemployment cards can be used just like any other type of debit card. Both of these are tied to independently set up accounts that related only to the individual issued the card, and other restrictions could be applied to them. While many don’t realize it, they certainly fall under the category of ‘debit’.
Finally, there are also gift debit cards issued by a wide range of different retailers, banks, and financial companies. These are paid for by one party in whatever sum they desire and can’t be recharged after the money applied to them has been removed. They’re great gifts for people who are unsure of just what to get a friend or loved one and can be the perfect way to give with confidence. Obviously, debit cards go far beyond just those issued by a bank when you open up a new checking account. There are numerous types, whether you realize or not.