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August 17, 2011


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thank you for your advice. I thought debit card was safe before.

A good list seeing that my son will be attending college and start using his debit card more of purchases.

Aren't debit cards protected with the max loss set at $50?

What a great post. I had to use my debit card recently at a hotel and they were going to hold back a certain amount of money while the transaction was pending. Unfortunately, I didn't have any other options, but I will now make sure I have a credit card with me at all times.

Great post.

When I withdraw money from an ATM, I go inside my bank or another one if mine is not nearby. If it cost me $2 to withdraw the $200, then I am happy to pay for that measure of safety. Maybe not a savings tip, but sometimes I don't mind spending some money for peace of mind.

I always use my credit card or paypal when shopping online for the reasons outlined above but I should really be a bit more careful about every day use as well. After all it costs nothing to use a credit card for petrol etc but the protection you get should the worst happen could be worth a lot

I must be missing something. Why do people want Debit cards?

What's wrong with a Credit card that gives you very nice rewards?
These days I also typically only write 3 checks/month, everything else is done with Bill Pay. I also almost never use cash, I keep about $20 in small bills in my wallet and it sometimes stays there for a month or more.

It's no doubt a generational thing since I am a 76 year old retired rocket scientist, pretty set in his ways, and don't use a lot of things that younger people like. I don't have a Facebook account. I don't twitter. I don't text. I don't carry a cell phone with me at all times, I don't go shopping or drive around with a Blue Ray device in my ear, in fact I just have the cheapest cell phone deal available at $5/month and keep it in the car for emergencies. I see no need to have costly extras such as "Caller ID" or "Call Waiting". We never buy sodas and bottled water like most of the people we see at the supermarket, but rely on a Reverse Osmosis unit under the sink to deliver all the pure water we ever need. When I take my wife out to a restaurant - we wear nice clothes, we take our time, enjoy a bottle of wine, and we talk to each other. We don't wear baggy pants or jeans with holes in the knees and also don't spend most of the time staring at a small video screen as I see so many other young couples doing these days.

I am with you Old Limey in regards to why people bother with debit cards. The only reason I could see using one over a credit card is that the person does not want to spend money they do not have?

I have a few friends who have racked up credit card debt and now that they have sworn off credit cards they use debit cards to keep themselves in check.

If you are a responsible person, no reason not to use a credit card and take advantage of rewards.

I used to use credit cards for my purchases to get the rewards. But now I use debit cards from two different banks so I can get 2.5% and 2% interest from two rewards checking accounts. These rates started out higher when I first set them up (close to 4%, but then dropped). I can get the high interest rate up to $25,000 deposited in each account if I have 1 direct deposit per month, 10-12 debit card transactions per month, and paperless statments. So I basically use them as savings acounts for my money. I could not spend as much on my credit cards as I can keep in these two accounts, so I get higher "rewards" this way.

I use the debit cards online to automatically pay my TV cable bill, local telephone bill, Netflix bill, long distance telephone bill (different provider), NY times subscription, my prescriptions ordered online, any grocery purchases, fast food purchases, drugstore purchases, Amazon purchases. I have to track them very carefully to make sure I make the required number of debits in the prescribed monthy cycle. I also can still use my credit card for big purchases.

Also, I never use my PIN with the rewards checking debit card. All my in person purchases are signature based. I rarely use cash and when I need cash, I get it from my credit union account (not rewards checking) at one of their ATM machines in my building or at the branch in the building next door.

I'm with Old Limey also. I do not want a debit card. I want the cc's because my money is not required until the next month. That way I can watch how I spend. The fact that I get rewards is a very big plus for my cc's.

Oh, by the by, I just signed up for my Citi card's promotion thru 11/30/11. I will get a 20% bonus on all my 1% rewards purchases til then. When I did it over the phone, it was until 9/30/11 and I was certain the girl had told me the wrong %. But, later I got it in writing. Whoopee!!!!!! Guess which card I am using the most thru Nov.?

I use a debit card for the sole reason that if I rack up 10 transactions per month (not PIN transactions) I get 3% interest on up to $30k. That is one of the best interest rates in the country for that amount of deposits. I make my 10 transactions and then put it away until the next month starts.

Jclimber --

That's my reason too. I earn 4% on up to $15,000 at my credit union.

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