A debit card has changed our life. A debit card is a plastic card used for money withdrawal from ATM as well as swiping while doing shopping. The size of the debit card is very small but the advantages offered by the card are very big. Every bank provides a debit card when you open saving bank account with them. As and when you perform a transaction using this card your account will be debited with the transaction amount. A debit card eliminates a need for a physical visit to the bank. You can make use of debit card anytime for cash withdrawal and shopping.
There are various types of debit cards. You may not be aware of the features and benefits associated with a debit card. Here is complete information about debit cards including advantages of the card. This will help you to optimize select cards based on your requirements.
Advantages of debit card
The primary purpose of issuing a debit card is to provide ease in terms of withdrawing money. One can withdraw money from ATM anytime using a debit card. Apart from the withdrawal of money debit card is also used for buying various products online on e-commerce websites. Here are some of the top advantages of debit card.
- One can make use of a debit card for emergency cash requirements. It allows you to withdraw money from ATM anytime. You need not carry cash all the time.
- The usage of the debit card does not affect the credit score. It is a prepaid instrument that is linked to your saving bank account. On the usage of the card, the transaction amount will be debited from your account. Whereas in credit cards it affects CIBIL score.
- A debit card is easy to carry and less risky. It is a convenient solution that helps you anytime.
- You can also use a debit card for the activation of UPI. Once UPI is activated you can use a mobile app for making transactions.
- Few debit card provides benefits such as personal accident coverage, discount, cashback and reward points.
Also Read –15 Types of Credit Cards in India and Usage
10 Types of Debit Cards in India
Rupay debit card
Rupay debit card is issued by the National Payment Corporation of India. Rupay debit card is accepted only domestically. Rupay debit card is introduced in India recently. RuPay debit card was introduced for the people living in rural areas and small villages. Low transaction cost and easy availability are attractive points about this debit card.
Visa debit card
Most of the banks in India issue debit card from visa. This type of debit card is issued by visa payment system network. Visa debit card is globally accepted all over. Visa ATM network is spread across India as well as abroad. This type of debit card can be used for making secure transactions online.
Master Card is a US-based company. Master Card is a competitor of Visa. The card issued by the master card is widely accepted all over the world. Master card is popular for excellent customer support and services. Master cards offer more secure services.
Contactless debit card
A contactless debit card means a card that allows you to make a payment without swiping. You just need to wave the card for making payment. A contactless debit card works on NFC or RFID principal. The contactless card eliminates the risk of duplicating cards.
Mastro Debit Card
Mastro is another brand of master card. You can use the Mastro debit card globally. Mastro debit cards can be used for the withdrawal of money from ATM. You can also use this card for performing online transactions. The features offered by Mastro are similar to the Master card.
Visa Electron Debit Card
Visa Electron debit card is similar to Visa card. The basic difference between Visa and Visa Electron is you will not get an overdraft facility in Visa Electron Debit card. Visa Electron card is not accepted in countries like USA, Australia, Canada, and Ireland.
Virtual Debit Card
The card generated online from the bank’s website is known as a virtual debit card. A virtual debit card cannot be used for the withdrawal of money at ATM. You cannot use this card for shopping in the store. This card can be used only for online shopping. A virtual debit card is generally secure in nature.
Gift Card is the card used for gifting somebody. Gift Card is issued by most of the banks. You can load a gift card with a specific amount. You can load this card with a minimum amount of Rs.500 and a maximum amount of Rs.10000. This card can be used only for online and offline shopping. You cannot withdraw money from the gift card.
A prepaid card is issued for a specific purpose such as toll payment, travel, online payment, etc. You can load this card with a specific amount. This card can be used for making payments at a specific place. You can also use this card for withdrawing money from ATM.
Travel Forex Card
A travel forex card is issued by the bank. Travel forex cards can be loaded with multiple foreign currencies and used abroad. You can make online and offline payments all over using a travel forex card. You can also use the card for the withdrawal of money from ATM. It is a secured way of carrying foreign currency out of India.
Over to you –
Usually, the bank does not provide you choice for debit card. However, given a choice, you should compare the different cards. It helps you in understanding benefits offers by card along with fees and charges. Don’t select a card based on the rewards offered by the card. Make sure that card is globally accepted and provide security and safety while performing transactions.