What is the Meaning & Definition of debit card

One of the most widespread financial instruments of the world

The debit card is today one of the most widespread payment instruments in the world together with the credit card and the traditional cash payment.
The economies of the countries depend on more and more financial institutions and this causes them to create simple and effective financial tools to its customers.

A magnetic card that saves the owner information and allows you to make payments and the collection or deposit money into the account

And debit card is one of them, is just a card, which has a magnetic bar in the back and a chip where you keep sensitive information like data access, account number, name of the holder, among others, and is used by its owner to make payments in shops, to extract cash from your bank account or also to deposit more money in the same , between the main operations that allows.

You debited instantly the monies in the account

In the case of purchases in shops money is debited instantly account when the business passes the card through the machine and authorizing the payment.
It is no longer necessary to take the cash over because almost all shops accept it as payment
One of the main advantages attributed to debit card is that an obligation to is no longer carry money in cash and this certainly reduces the risk of losing all of the money in a street assault as it used to happen once. Today, it is common for people to carry a minimum amount of money with cash and your debit card, in the meantime, if you need to acquire some may use the card since almost all business establishments accept it as payment.

Promotions and benefits obtained by use

Another advantage of using this type of card is that banks, to encourage its use, offer significant discounts in shops that are attached to them and to sign an agreement. For example, it is common that the issuing banks for debit cards offer customers a discount of 30% in the business clothing Thursday, if they pay with this method of payment.
On the other hand, it has become a common practice that banks return to its clients a percentage of the tax value added (VAT) for purchases that made with this card. It is returned to the beginning of the month and is also an attraction in deciding to pay a purchase with the card.
Article contributed by the team of collaborators.

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