- Debit cards are the most straightforward of the three.
- Using a debit card to pay for a transaction simply deducts the
money directly from your bank account after your purchase.
- Funds in a bank account usually earns interest if a certain
balance is maintained.
|CARD LIMIT||Depends on the amount you have in your bank account|
|PAYMENT||Pulls the cash instantly from your bank account|
|FEES AND PENALTIES|
- No interest fees but might have overdraft fees
- Sometimes a dormancy fee is charged for accounts with no
customer-initiated transactions for a certain period of time.
- No ATM withdrawal fees if cash is withdrawn from own bank's
|WITHDRAWALS VIA ATM||Can withdraw from savings/checking account|
|MAINTAINING BALANCE||Requires maintaining balance|