The importance of using an atm card instead of hot cash!

The importance of using an atm card instead of hot cash!


How much do you pay for your daily routine? Usually, people enjoy the convenience of cashless transactions. However, when you use a debit or atm card, you don’t need to worry about carrying a lot of cash or finding a pen to write a check as well as atm card fraud protection.

Avoid fees and service charges while using an atm card!

Usually, credit cards, which often come with annual fees, late payment fees, hefty foreign transaction fees of up to 3%, and other expensive extras, typically have little or no associated costs. You can avoid fees altogether if you use your atm card more tricky. Moreover, banks charge a few dollars on top of the ATM fee when you withdraw cash from an unaffiliated ATM. But “ATM fees” can be easily avoid if you have a further plan. Although you know you’ll need some money. You can visit an in-network ATM to get it; or use the convenient in-store “cash back” option when paying with a debit card. Although, as we all know. A debit card works like an electronic check and takes money from your checking account when you use it. 

Stay responsible for your spending atm card!

Debit cards are called “cheque cards” to express their function as plastic checks. When you charge a purchase to your credit card. You don’t need to pay for it until the next transaction, and even then. Your minimum payment may be less than the entire balance. In contrast, atm card purchases take money from your checking account immediately (if you choose the suitable card option and enter your identification number – PIN) or in a day or two if you choose the credit option. Real-time payments make you spend more than you have. It’s easier to make impulse purchases with a credit card because you can have the item now and not hassle about paying for it later. You may charge an overdraft cost if you use your card at another moment when your account balance is low or negative. However, this is another fee that can easily be avoid.

Faster payments mean better budgeting through atm cards!

Just as debit cards hold you accountable for responsible spending. They also make it easier to stick to a budget and prevent overs costs. For example, if you write a property cheque, it may not be cash for days or even weeks. In the meantime, you may spend more than you have, especially if you don’t do daily account reconciliations. With the faster and, in some cases, instant payments associated with debit cards. It’s clear how much money you have left. Atm cards work well with online and mobile banking and budgeting apps and websites because you can see your current balance and account activity in black and white.

No interest charges you have to pay for the atm card!

Perhaps the interest is the best reason to use an atm card instead of a credit card. Credit cards are notorious for charging high-interest rates that can also fluctuate, usually in response to changes in the prime rate. APRs on credit cards range from 10% up to 32.99% (if you end up with a penalty interest rate for late payments). If you are not regularly paying off your monthly balance, getting pay through credit cards will burden you financially. On the other hand, if you pay with a debit card, you avoid expensive interest charges that will ultimately add significantly to the price of your original item.

Atm cards are much more secure than using cash!

If you get scared with your wallet stolen, you know the painful truth that the cash is gone forever. Atm cards protect against theft because no one can use your card at an ATM without knowing the PIN. Additional protection is offere by the recent addition of chips to debit cards. Most debit cards also offer security protection for online shopping, so only you can shop with the card.

Atm cards are linked to interest-bearing accounts.

Many banks offer checking and savings accounts, including interest-earning options. A minimum daily balance is usually require, but in return, you get both the benefit of earning interest and the convenience of using an atm card for cash withdrawals and purchases. The compound monthly interest is like free money add to your account balance that is available through your debit card.

Rewards for banks and merchants by using atm cards!

Have you heard of credit cards with rewards? Now some atm cards have updated with the rewards game. You can win many points for dollars spent and redeem points for travel, shopping, or gift cards. Rewards are usually for purchases made using your signature, not your PIN. The process is the same as credit cards, but you get no annual fee, no interest, and all the other benefits of debit cards we just mentioned. On the other hand, merchants prefer debit card transactions, especially the PIN entry option, because they pay banks less per swipe than credit cards. This is why some merchants support debit card payments, especially those that use a PIN.