DEBIT CARDS

DEFINITION :


The debit card is a financial instrument of payment issued by a bank or financial institution, which allows the holder access only to the positive balance you have in your checking or savings account, at the time you make a move. A payment through a debit card results in a direct charge to the account associated with it. The 
debit card can also be seen as a means by which use funds deposited in a particular account holder. In this sense, the cardholder is both the account holder.


Format :


The debit card is known as electronic money, in so far as it is a money storage and acts as a means of electronic payment. Also, the debit card may be viewed as plastic money, since it is a plastic card comprising a magnetic strip. On some cards are additional data such as addresses, phone numbers and logos, both of the wearer and the entity. These characteristics depend on the bank that issued the cards.

Given a globalized scenario, which are diversifying consumer needs for goods and services, taking into account that for a more agile business, increasingly elaborate mechanisms to reduce both process time and in the operations. To that extent, banks provide their customers useful tools help, so that holders can manage their personal investments in the best way.In order to streamline purchasing and payment of services were created debit cards. You in turn have become one of the financial instruments used throughout Spain and the world, thanks to its easy handling and the many benefits they bring.Compared to the credit card, debit card means less expense to the extent that the owner only has the money to have in the bank account associated with the card, on the contrary, the credit card holder has a value which is then amortized installments, between it and the entity.



TYPES OF DEBIT CARDS :


Currently, there are different types of debit cards and can when classified according to the holder thereof. Thus, to tailor the features and terms applicable to the segment of customers they serve. The following articles you will find more detailed information on each of these cards.


Types of debit cards  >>>   Debit cards for young :  



Such cards are associated with different benefits to their holders, which are determined by factors such as age, student status or not, among others. In addition, as a marketing strategy for the acquisition of future customers, and also to encourage savings among young people and children in Spain, some banks offer debit cards to children and adolescents including those infants also have potential. To that extent, debit cards are tailored to the age of the holder. Depending on the circumstances involved in the youth card type, you can make a subclassification of the same. In that order will detail different types of cards available.

Youth card "Euro <26"

As its name implies, this card is basically for those under 26 years. In addition to the services of a traditional debit card, offers a number of additional benefits to its owner, such as discounts on accommodation, transport, cultural activities and shopping.

Youth card "Euro> 26" 

Unlike before, the card "Euro> 26" is geared to that age 26 and under 30 years. Besides acting as a traditional debit card, provides a number of benefits to its owner. Some of these benefits are:

Grants and discounts on courses

Low-interest loans for housing access
Car Loans
Loans for graduate study
Credit for starting a business

campus card :

Certain entities have agreements with selected universities for student card acts as a debit card at the same time. Taking into account students' needs, the cards offer benefits to both students and discounted tickets to cultural events, shopping and transportation.



OTHER TYPES OF CARDS   :

In addition to debit cards for young adults there are also cards and prepaid cards that cater to the needs of each customer type.

Debit cards for adults are associated with a savings account, and therefore the client should consult with your institution the various alternatives debit cards it offers. It should also be aware that commissions are not paid if the money is withdrawn from ATMs linked to the issuer. Compared to credit cards, the debit card fees for adults are usually smaller than the commissions granted by credit cards.

Prepaid cards work like debit cards, and is not necessary to have a savings or checking account linked to access them. The operator loads it with an amount of money in order to operate to consume that amount. They do not usually have a physical medium, but have the same data as a normal debit card. One type of prepaid cards are virtual, which serve exclusively for the payment through Internet.

ADVANTAGES AND DISADVANTAGES OF 

DEBIT CARDS :

Debit cards, like other types of cards, have both advantages and disadvantages that must be taken into account before collection. Depending on the particular case of the financial institution where obtained, may be major or minor inconveniences, but overall, this card has some pretty basic features and is well suited to all types of clients that do not require additional bank financing.

Advantages of debit card  >>>

Usually in the debit card no interest is paid, unlike in credit cards, as no charges are transferred from one month to another. The owner will only pay fees if they withdraw money from ATMs that do not belong to the bank card network.

The debit card payment process involves a quick and secure.

To avoid the situation of double charges and avoid the need to retain the customer money, many companies online service allow the use of debit cards for transactions.

Most banks do not charge the annual fee for the use of the debit card, because minimal costs to the extent that the system is electronic.

Some debit cards are linked to insurance. These depend on supply insurance entity and the need of the owner. Among the most common associated with debit cards are life insurance and car insurance.

Debit cards have a large range of places where it is accepted. In addition, for commercial purposes is typically offer discounts when making debit card payments.

Debit cards have begun to be increasingly used in different countries and as a result, international use are relevant in the case of journeys or stays abroad.

Disadvantages of Debit Card  >>>

The debit card allows the holder access only the money you have available in your checking or savings account at the time of the execution of movement.

A disadvantage is the fact that in some banks or savings, you must pay an annual fee for the card.

Sometimes the owner may find double charges recorded in the movements of the debit card. These double charges occur when the owner does some sort of reservation with your card.

You can not stop payment of a transaction with a debit card, so if the holder detects undue movement on your account, you must demonstrate that he has not done himself. The holder should be required in establishments identify any payments made by debit card, in order to avoid mistakes that lead to major consequences.

Debit cards have a daily withdrawal limit of cash for security reasons, this limit is determined by the issuer.

CANCELLATION OF DEBIT CARDS : 


It is in the contract which states the term of the debit card, there may be the case in which the client and the entity may also agree to an indefinite period of it. However, Spanish law cited in the Law 26/1984, supplemented by Law 7/1998 concerning the General Conditions of Contract, it is possible to modify the conditions of the contract by unilateral undetermined.


Regarding financial services, the provider of the same is required to give notice to the user, so that the latter have the option to resolve the situation and avoid cancellation of your card. In the event that the institution has a valid reason may void the contract and immediately notify his client. Each institution must meet a number of specific duties when you decide to cancel unilaterally cancel a card, you're obligations are:


The notice must be notified to the customer, with the intent to cancel.


The resolution of cancellation must be justified on objective grounds.


In the event that the customer has paid fees in advance, the entity shall repay the amount advanced fees in relation to the period when the client does not enjoy the card.


Communicate the final decision to the holder of cancellation by a valid notification.

Cancellation of a voluntary :


To carry out the cancellation of the card, the customer will simply go to the issuer, must confirm if any additional payment for that purpose, and report to cancel the debit card. The debit card holder has the option to voluntarily cancel your debit card, given that this is supported in the Spanish system. However, before the institution must conduct the procedure of cancellation, the customer must repay the debts in the case of having them. In addition, the entity may charge you a fee for early termination, the percentage of this commission will be determining by the entity.