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Are Debit Cards Safe? Everything You Need To Know

Are debit cards safe? What about when compared to using cash or credit cards? The recent rise of "skimmers" have made many consumers think twice about using their debit cards when making purchases. Especially at the gas pump.

But debit cards have many safety benefits over both cash and credit:

Debit Cards Are Safer to Carry Than Cash

Carrying your debit card around is a lot safer than carrying cash in your wallet. If you lose your cash or it gets stolen, you’re out of luck. (Plastic is cleaner too—check out these crazy facts about cash and germs!)

Debit Cards Require Pins

Unlike cash or credit, use of a debit card requires a PIN. This second step automatically makes it more difficult for someone else to make a purchase with your card. Credit cards on the other hand? You just swipe and go. Remember, whenever you enter your PIN always cover the pad.

cover the pin pad to keep your debit card safe

Debit Cards Limit Liability if Stolen

Many believe only a credit card can limit your liability if stolen, but federal law covers debit cards as well. As long as you report it immediately, federal law states you cannot be held liable for unauthorized transfers after you report it stolen. You’re also only liable for $50 worth of transactions if you report it stolen within two days. Read more on the FTC website.

Debit Cards Limits Your Spending

The biggest reason many choose debit over credit is that it helps you avoid overspending. You're more likely to spend within your means when using debit versus racking up debt and paying interest on a credit card.

Plus, Debit Cards Earn Rewards!

Thanks to banks and credit unions (like Kasasa providers) who offer reward checking, you can get great benefits from using your debit card. Things like high interest, cash back, iTunes and Amazon refunds, and money to save.

Tags: Identity Theft