90

Credit card, without a doubt. The reason is dispute resolution. If you dispute a charge on debit card - the money has left your account already, and if the dispute was accepted - you'll get it back. If. Eventually. In the mean time your overdraft will be missing $$$. For credit cards, you can catch a fraud action before the money actually leaves your ...


56

I see three possible reasons: He doesn't have a secure way (or any way) to manually enter card details. Most payment terminals have a keypad and can support manual entry (or PINs), but everything else in the ecosystem has to as well. If he doesn't have a way (or doesn't know how) to get the terminal to prompt for manual entry, then that's not an option. ...


38

"electronic use only" cards can only be used by vendors that can instantly verify and authorize the purchase, which is most vendors these days, but there will be some exceptions: vendors that use old "batch" style processing vendors that "copy" the embossed numbers using carbon slips (very rare now) offline purchases (e.g. on a plane) The problem is you ...


34

For starters - by not using debit cards. It has been noted on this site numerously that credit cards are safer. Not only in the US, Visa/MasterCard dispute resolution rules for credit cards are basically the same everywhere. In many countries laws limit the card holders liability over fraudulent credit transactions much "better" for the holders than over ...


31

"Need" is a strong word. As far as merchants are concerned, if they accept, e.g., Visa credit, they will accept Visa Debit. The reverse is not necessarily true. Up until lately, Aldi would only accept debit cards (credit cards have higher merchant fees), and when I used to got to Sam's Club, they would accept Visa debit, but not credit (they had/have an ...


28

Using the physical card or not are two different scenarios, namely "Card Present" and "Card Not Present" (also known as MOTO as in Mail Order / Telephone Order). They may involve different contracts, different rates, different risks, and different equipment. Some contracts will simply not allow Card Not Present transactions. You need to actually use the ...


25

Krebs on Security had an excellent article on this subject in late 2014 (right as the US was starting to transition to chip-and-signature). A few initial details: US Point of Sale (POS) systems do generally support chip-and-pin. The issue isn't technology - that technology (PINs) has been in the US for years, allowing deibt cards to be used at POS systems....


24

I completely agree with @littleadv in favor of using the credit card and dispute resolution process, but I believe there are more important details here related to consumer protection. Since 1968, US citizens are protected from credit card fraud, limiting the out-of-pocket loss to $50 if your card is lost, stolen, or otherwise used without your permission. ...


22

Car rental agencies typically accept only credit cards for the rental (you can pay at the end with debit, but the securing during the rental must be a credit card - or a high cash deposit). Hotel advance-bookings - even if many months in the future - will work fine with a credit card, but - as explained by others - on a debit card, it would directly affect ...


22

I would look at the bank website for any monthly statement that would specify the last four digits. It may also have been included in any email correspondence from the bank when the card was reported missing, or when they sent you the card originally, or if you changed the password on the card. Many banking institutions also send a copy of any email notices ...


22

The "danger" of using a debit card is that what backs it is your real money. If there is a fraudulent transaction, the money that is used to settle the transaction is yours. Yes there is a dispute and fraud protection policy offered by your bank, and should you qualify for it you'll get your money back. If you use a credit card and there's a fraudulent ...


21

Shred. Why? Because people will go through your trash, find them and use them. Shredding will make it harder to find the right pieces and glue them together, thus making your account number hidden (or at least not easily accessible). People who have your account number from going through your trash will probably know other stuff about you from the same ...


20

Possibly not relevant to the original asker, but in the UK another advantage of using a credit card is that when making a purchase over £100 and paying by credit card you get additional protection on the purchase which you wouldn't get when paying by debit card. E.g. if you buy something costing £100 and the company goes bust before it's delivered, you can ...


19

It's a scam. Here are the many signs: The bank will never ask for your password. They can access your account without it. The bank will never use a customer's account for their own business. They have their own accounts. "Some guy" is not a bank employee. Bank employees are people that you meet at the bank. Banks do not hand out thousands of dollars ...


19

That info isn't in the credit card transaction data record. Keep and scan your receipts.


18

Until the CARD act, credit card rules required that merchants had no minimum purchase requirement to use a card. New rules permit a minimum but it must be clearly posted. Update - Stores can now refuse small credit card charges is an excellent article which clarifies the rules. It appears that these rules apply to credit, not debit cards. So to be clear - ...


18

Two issues I see with your question: The word "need" is absolute. It confuses the purpose of debit and credit cards. Thus... No, you don't need a debit card. But it's a handy way to access your checking account (though obsoleted by smartphone bank apps), and get dead presidents without cashing a check. Debit cards are instant access to your checking (and ...


17

Keeping a receipt does allow you to verify that the expected amount was charged/debited it also can help when you need to return an item. Regarding double charging, the credit card companies look for that. If the same card is used at the same vendor for the same exact amount in a short period of time the credit card company will flag the transaction. They ...


16

This will probably require some explanation from you on the source of the money and the reasons for the transaction. Cash transactions over $10k will be reported by the bank (in this case) on a CTR report to FinCEN. Keep in mind, mere breaking the transaction into multiple smaller ones in order to avoid the CTR is on its own a criminal offense. Just deposit ...


16

When you swipe your credit card, the terminal at the store makes a request of your bank, and your bank has only a few seconds to accept or reject the transaction. Once the transaction is accepted by your bank, it appears in the Pending transactions. At the end of the business day, the store submits all of the final transactions for the day to their bank in ...


16

For safety, I would always go with a credit card. The fraud protection is generally better, although that gap is closing and many debit cards include similar fraud protection now as well. The key though is that in the event of a dispute, your money is at stake when you use a debit card (those funds might be unavailable for you to use), while on a credit ...


16

I know for a fact that this is happening as I helped implement such a solution for a merchant that has multiple brands. For the one that I worked on actual credit card numbers were not used, but tokens that represent credit card numbers. Without getting into too much security stuff, it is was a one way thing. A customer's credit card number would always ...


15

First off, do not ever tell someone your password. Nobody who actually works for the bank would need your password to access the account. Also, it may or may not be a scam (it almost assuredly is), but it is not a good idea to let someone use your bank account in your name. What if they use your account to launder money for illegal or terrorist activities? ...


14

Generally, I consider it bad etiquette to inconvenience others. I would recommend cash for small purchases. Try to offer as close to the required amount as possible. Don't pay with several dollars worth of change if you can avoid it. Credit/debit cards tend to take long to process than cash. The longer your transaction takes the longer those in line ...


13

It all depends on the merchant. When you charge your card the information goes through but it waits for the merchant to send the info/confirm the charge before it shows up on your online activity. For example: I use Intuit to accept CC payments. When I charge an Amex the info is sent to Amex on the spot which is why your credit limit updates immediately but ...


12

From my experience, almost always it is cheaper to pay in the local currency, including the bank fees and the bank conversion rates. If you let the store convert to your home currency for you it will be the least favorable rate you could have gotten anywhere. There might be some exceptions, but I haven't seen these.


12

I was hoping to comment on the original question, but it looks to me like the asker lives in the EU, where credit cards are a lot less common and a lot of the arguments (car rental, building up of credit etc) brought forward by people living in the US just don't apply. In fact especially airlines (and other merchants) will charge you extra when using a ...


11

Etiquette or not, it is hurting the seller. The transaction fees have usually minimums, so if the actual transaction is below the minimum - they'll pay larger fee on the transaction (relatively). As an example, assume minimum fee for a debit card swipe is 20 cents, or 2% of the transaction. For a transaction of $10 and above, the fee will be 2% of the ...


11

A debit card takes the funds right from your account. There's no 'credit' issued along the way. The credit card facilitates a short term loan. If you are a pay-in-full customer, as I am, there's a cost to lend the money, but we're not paying it. It's part of the fee charged to the merchant. Thus the higher transaction cost.


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