What is Debit Card?
A debit card is basically a card used for fund transactions. Going by the name plastic cash, bank card and more, you can enjoy electronic access to your savings account in any bank via ATMs. You can deposit and withdraw as per your convenience this way without the hassle of standing in long queues. Same can be utilized for mobile banking and internet banking.
Types of Debit Cards in India
- Visa Debit Cards
These debit cards are issued with the bank’s tie-up with VISA payment services providing the Verified by Visa (VbV) platform for online transactions.
- Visa Electron Debit Cards
Visa Electron debit cards are very similar to Visa debit cards but these cards do not provide the overdraft feature.
- MasterCard Debit Cards
A MasterCard Cirrus Card or a MasterCard Maestro Card gives customers access to their funds worldwide and they can perform online transactions using their bank accounts on the MasterCard SecureCode platform.
- Contactless Debit Cards
Customers can make payments with just a tap or wave of their contactless debit cards near PoS terminals, with the cards working on Near Field Technology (NFC) thereby making electronic payments safer.
- RuPay Debit Cards
Introduced as a domestic card scheme by the NPCI, RuPay debit cards facilitate online purchases and transactions on the Discover network and ATM transactions under the National Financial Switch network.
- Maestro Debit Card
Founded in 1992, Maestro from MasterCard is a premier, international debit card service that has been popularly adopted at over 13 million locations spread across 100+ countries around the world. Maestro, as easily identified by the signature logo on all partner cards, helps the customer gain immediate access to his/her money through a robust, international network of compatible ATMs, POS outlets and online resources.
Top Banks providing Debit Cards in India
Indian consumers can choose from a wide range of debit cards offered by various Indian banks tailor made to suit their banking requirements. The list of banks are as follows
- State Bank of India Debit Card
- HDFC Bank Debit Card
- ICICI Bank Debit Card
- Axis Bank Debit Card
- PNB Debit Card
- Canara Bank Debit Card
- Bank of India Debit Card
- Bank of Baroda Debit Card
- Union Bank of India Debit Card
- Syndicate Bank Debit Card
- HSBC Debit Card
- IndusInd Bank Debit Card
- Citibank Debit Card
- Standard Chartered Debit Card
- YES Bank Debit Card
SBI provides an eclectic array of Visa, MasterCard and RuPay debit cards customizing the card features depending on the customer’s needs. State Bank of India offers 10 different debit cards comprising of personal and business cards.
Hassle-free cashless shopping with HDFC debit cards and secure online transactions can be done with on Visa and MasterCard SecureCode platforms. Eleven debit card alternatives are offered by HDFC to Indian customers.
Pick an ICICI bank debit card of your choice and customize it with an image that is a reflection of your personality. ICICI customers can choose from an extensive selection of 31 cards categorised under Premium, Personal, Business, Expressions and Unifare.
Axis Bank debit cards are packed with privileges and offers and customers also have the option of designing their own debit card. The bank offers a total of 17 debit cards categorised as Business, commercial, premium and other segment cards.
PNB debit cards are offered in collaboration with MasterCard and RuPay and are accepted at multiple merchant outlets worldwide. Customers can choose from 5 different types of debit cards along with add-on card if required.
Customers can enjoy the convenience of cashless shopping with a Canara Bank MasterCard or Visa debit card. Offered in two variants the Canara Bank debit card comes loaded with exclusive privileges and features.
Offered on MasterCard, Visa and RuPay payment platforms, the Bank of India debit card is a one-of-a-kind card which is valid for domestic and international transactions. With a wide assortment of cards totalling upto 14, BOI debit cards are customised to suit the needs of every Indian consumer.
Bank of Baroda offers six different types of personalized debit cards in association with Visa, MasterCard and RuPay to suit the lifestyle requirements of customers.
Union Bank of India provides international debit cards with multiple account access and add-on cards on the Verified by Visa (VbV) platform. Union Bank provides two types of debit cards to customers including a RuPay debit card.
Customers can transact in a currency of their choice but pay in Rupees using their Syndicate Bank Global Debit Card. With half a dozen debit cards, Syndicate Bank tries to offer convenience and efficiency to its banking customers.
HSBC offers Visa based debit cards to personal banking customers and HSBC debit cards can be used at multiple merchant outlets and ATMs worldwide. HDFC offers 11 types of debit cards and customers can choose a debit card depending on their savings account.
IndusInd bank offers a mix of international and platinum debit cards on the Verified by Visa platform along with an exciting rewards program for customers. The bank offers four different types of debit cards depending on the account held.
Citibank offers debit cards along with savings accounts and customers can enjoy unlimited benefits and add-on features with their Citibank debit cards.
Access your bank accounts from anywhere in the world, enjoying attractive privileges and offers with a Standard Chartered debit card. Offered in seven different variants, a standard Chartered debit card is a must-have card.
YES Bank offers two variants of international MasterCard debit cards namely - Gold and Silver, with unparalleled benefits. YES Bank provides four types of debit cards depending on the customer’s requirements.
With the advent of debit cards in the 1970s, a consumer’s life became much simpler. Gone are the days when shoppers across the globe used to carry wads of cash in their wallets and stand in long queues to withdraw money from their banks. Payments these days are done with just a swipe or a tap of a card. Older generations would probably have faced challenges like falling short of cash and not having enough to cover a bill but today users would just pick up their debit cards to pay up in a matter of minutes. The popularity of ‘plastic money’ or a debit card has increased phenomenally with financial institutions issuing them with personalized features and designs. As an easy alternative to cash, debits cards are useful to manage your day-to-day expenses, allowing you to plan your budget without overspending. The biggest advantage that a debit card offers to a user is that during every transaction the money is drawn from the customer’s bank account that the card is linked to. Debit cards have been increasingly used for online transactions or purchases on secure payment platforms offered by banks as part of their e-banking solutions.
Almost every bank in India offers debit cards with different features and benefits depending on the bank account held by the user. Generally these debits cards are issued in collaboration with various payment platforms to provide a secure platform for users to transact on. The most common payment platforms used by banks in India include the following
Debits cards are generally linked to a particular bank account belonging to a customer. Banks provide customers with debit cards for every savings, current or overseas accounts they open. In some cases a single debit card can also be linked to multiple bank accounts. A debit card allows a user to purchase goods at merchant outlets or online stores and also doubles up as an ATM card to perform various bank transactions and withdraw cash. When a debit card swipe happens, the money comes directly out of the customer’s bank account and is immediately transferred to the merchant. Instant payments with instantly available cash. Unlike credit cards, debit cards do not require bill payments on a later date as the money is paid then and there. Debit card users receive monthly statements which give them an idea about their card spends and ATM transactions, helping them track and plan their expenses.
‘PIN’ stands for Personal Identification Number. A debit card PIN is a four digit numerical code, provided as a security feature while performing card purchase transactions. When a customer opens a savings or a current account, the bank provides a debit card along with the corresponding PIN to be used while transacting using the debit card. Customers have the option of changing or setting PINs of their choice if they have forgotten or lost their current PINs. The Reserve Bank of India mandates the use of PIN while making purchases at merchant outlets using debit cards as a security measure. Banking customers are always advised to keep their PINs safe and not share it with other individuals as a move to provide protection to their bank accounts.
Customers holding savings or current accounts must always choose a debit card suitable to their accounts and the expenses they would incur. Compare a few debit cards before you actually make your choice. Understand what each card offers, the fees levied, the services offered and the minimum balance requirements before signing off on a card. Additionally some debit cards also offer rewards programs and these would be beneficial to higher spenders. Also make sure that while performing e-commerce or online transactions, the bank and the payment platforms are secure to avoid any fraudulent activity on your debit cards. Always choose a card best suited to your financial needs and not because the card is packed with privileges and offers.
Debit cards serve different purposes, and are convenient to use. It relieves us of the burden of carrying a cash heavy wallet around. But as every good thing comes with a flipside, debit cards are easily susceptible to fraudulent attacks. It is true that every debit card transaction is conducted through secure platforms yet they are susceptible to all kinds of hacking and cyber-attacks. To avoid being a victim of debit card frauds, you need to know how to use your debit cards safely.
Here are a few useful tips to prevent misuse of your debit card -
Keep your PIN a secret - The first rule that governs the usage of a debit card is to keep your debit card PIN safe and secure. Memorise the 4 digit PIN by heart, and make sure that you don’t write it down anywhere, or share it with anyone. Also, never give your PIN to anyone over the phone, email, social media, and such like.
Report loss of your Debit Card - Loss of card should be immediately reported to the financial institution to hot list the card, in an effort to prevent fraud.
Keep an eye on your email - This is the easiest and most common way to identify fraudulent transactions, if any, occurring via your debit card. As soon as a transaction is made using the card, an email is generated intimating the cardholder about it.
Follow RBI’s mandate - Make sure that you authenticate every PoS transaction by entering your PIN and completing the entire purchase transaction.
Make online payments through secure platforms - With the advent of online shopping, cyber safety has become a cause of deep concern. You have to be cautious while carrying out a transaction online and paying via your debit card. Look for secure online payment symbols, and ensure that you use your debit cards only on secure websites asking for authentication. The two-tier authentication process that secure sites require is a measure to prevent debit card credentials from getting leaked.
Follow SMS alerts - An easy way to keep a track of your debit card spend is to set-up alerts from your bank in the form of SMS or mail statements containing details of every single purchase or transactions you have done.
Keep your card protected - If the magnetic strip behind your card gets damaged, you cannot carry out any transactions by swiping your card. Please make sure that you do not expose your card to dirt, sharp objects, and other magnetic objects.
Keep a track of your money in the account -Review your account statement often to know where and how much have you been spending. If you come across any unauthorised transactions, report it to the bank, immediately. This can be a significant step in preventing you from becoming a victim of fraudulent transactions.
- Debit cards are a convenient alternative to cash. They are easy to carry and can be handled easily. Since you do not have carry cash or cheque book if you have a debit card, it is a safe option when travelling.
- Debit cards can be used to withdraw cash from an ATM and also for merchant transactions at Point of Sale (PoS) terminals. A debit card ensures instant transfer of funds and receipts of services.
- With banks offering exciting features like bonus points, cash back offers, free insurance coverage and an array of redeeming options for accumulated points, debit cards will make your whole purchase experience more rewarding.
- Debit cards encourages a habit of responsible spending since the cardholder can only utilize their own money within account limits. It also helps in better budgeting and money management since the transactions are recorded.
- A debit card offers greater security and thus decreases the chances of fraud, theft and misuse.
- You can easily keep tracks of your spends with features like email and SMS alerts that contain details of transactions done using the debit card. Many banks also allow you to customize the add-on benefits to gain the maximum from your debit card.
How do I apply for a debit card on BankBazaar.com?
BankBazaar provides an easy online process to apply for any debit card of your choice with instant e-approvals. Customers can also compare the different debit cards offered by banks and pick what they find suitable for themselves. The BankBazaar home page displays a Finance menu and customers can choose the debit cards option under the ‘Cards’ drop down list. Users will be then taken to a page containing links to specific debit card and credit card pages. Clicking on the debit card link will take them to an info page on debit cards. BankBazaar customers can understand what each card offers and select the card they want. Clicking on ‘Apply now’ will submit the customer’s application to BankBazaar and they will receive an immediate e-approval via email. Their application will then be forwarded to the bank for further processing.
Q.Can multiple accounts be linked to a debit card?
A.Yes, some banks give customers the option of linking several bank accounts to a single debit card.
Q.Do banks block debit cards if customers enter the wrong PIN during cash withdrawals?
A.Yes, any bank would block a customer’s debit card after three unsuccessful attempts at an ATM as a protective measure.
Q.Is the overdraft facility available with debit cards?
A.Overdraft facility is available with the savings account linked to a debit card but is not applicable on a particular debit card.
Q.What are the different costs associated with a debit card?
A.Some banks might charge issuance fees, ATM withdrawal charges and annual fees for the usage of debit cards.
Q.In India, what are the two types of debit cards generally issued to users?
A.Indian Banks provide personalized and non-personalized variants to debit card users. Personalized debit cards additionally contain the user’s name and photograph. Non-Personalized cards will just have the bank logo, card details and the payment platform logo without any user related information.
- Debit Cards Vs Credit Cards
- Debit Cards for Fuel
- Debit Cards for Online Shopping
- Prepaid Cards for International Travel
- Debit Cards for Movie Tickets
- Debit Cards for Students
- International Debit Cards
- Debit Cards for Shopping
- Debit Cards for Restaurants
- Debit Cards for EMI
- New ATM Transaction Charges
Inox joins hands with Innoviti, introduces contactless card payments
Multiplex player Inox Leisure and Innoviti Payment Solutions have come together in a partnership to improve and enhance customer experience. Through this association, contactless card acceptance terminals have been installed at multiplexes, where customers can make transactions by simply waving their debit or credit card at the terminal. Presently, the terminals have been installed at 40 multiplexes in across seven metro cities.
The contactless terminals are working on the NFC (Near Field Communication) technology, and are compatible with the Visa payWave platform. This innovative technology can read contactless credit and debit cards of various banks, helping movie-goers to make faster and hassle-free transactions.
27th September 2016
Soon You Would Not Need A Debit Card To Make Payment At PoS Terminal
Imagine making payment on PoS terminals without carrying your debit or credit card. Well, that will soon be a reality. Delta ID, is an Iris technology developing company who develops iris technology for mobile phone users. They have decided to do the same with PoS terminals. It is noteworthy that Delta ID had developed ActiveIRIS, which is used for iris scanning and was the first software that was recognised by the Unique Identification Authority of India. If this happens, the PoS terminal will scan the customer’s eyes while making payments. If the customer has linked his bank account to Aadhaar card then the merchant will receive the payment from that bank account as soon as the Iris is authenticated. Partner at Trilegal, a law firm, Rahul Matthan added that there are about 650 million debit card users in India and if this is implemented, it will be revolutionary.
27th September 2016
RBI Proposes a Fund to Boost Debit Card Usage
In India, there are more than 68 crore debit cards that are active. But the debit card usage in electronic payments has been significantly low raising concerns with the Reserve Bank of India. This can be attributed to the fact that only 2 lakh additional POS terminals have been added in the country making the total count 14 lakh terminals. In light of this, the RBI has proposed that banks which have not installed card-accepting machines should contribute towards a fund which will be used to provide subsidies on the installation of POS (point of sales) terminals. The fund will be designed as an acceptance Development Fundwhich will enable POS machines to be installed at merchants of villages and small towns at subsidized rates. The idea has been taken from similar funds in other countries such as Indonesia which were successful.
23rd September 2016
Times Group and HDFC Bank Launches A Debit Card Together
The digital face of the Times Group, Times Internet, joined hands with HDFC Bank and launched Times Points HDFC Bank Debit Card recently. Customers who hold this debit card now collect credit points by creating, reading or sharing content on Times Internet websites along with the points earned by them from HDFC bank when they shop online. Users of this card also get a minimum discount of 10% all retail, dining and groceries purchases made online, Rs.10 lakh personal accident insurance, Rs.50 lakh international air accident death cover and Rs.1 lakh zero liability cover on fraudulent and skimming transactions . Time Points HDFC Bank Debit Card is granted to customers three years after the Times Card, which is a credit card issues by Times Group and their partner HDFC Bank. Times Card is a major hit in the entertainment sector with about 3.5 lakh customers. With about 171 visitors every month, 13 million minutes are spent on Times Internet website and the mobile app.
1st September 2016
RBI Issues Instructions To Help Prevent Debit Card Cloning
In an effort to bring down the instances of cloning and enhance protection on debit cards, Reserve Bank of India had directed banks to migrate all magnetic stripe enabled ATM cards to EMV chip and PIN enabled cards. This directive has been issued in a move to strengthen the security of transactions carried out with these cards at ATMs and also merchant establishments.
A senior RBI official said that Indian banks and white label ATM operators have been instructed to make sure that all existing / new operative ATMs must be enabled to read EMV Chip and PIN debit cards. Transactions done magnetic stripe enabled cards are far more risky than those done with PIN or EMV Chip enabled cards.
According to a recent survey carried out on 4000 ATM machines in urban and semi-urban areas, the results have shown that nearly one third of those machines were either not a condition to operate properly or lacked the provision of operating or safety instructions.
9th June 2016
RuPay Platinum Debit Card launched by Axis Bank
Axis Bank recently launched the RuPay Platinum Debit Card, partnering with National Payments Corporation of India (NPCI) to bring this product to the masses. The third largest private sector bank in India, Axis Bank launched this card primarily to cater to NRO clients. The RuPay Platinum Debit Card comes with enhanced features like insurance cover, assess to airport lounges, cashback benefits, etc. This launch will also solidify Axis Bank’s position as the fifth largest issuer of debit cards in India, helping them garner new clients and move up the ladder.
25th May 2016
Manappuram Finance to launch co-branded Debit Card
Manappuram Finance, one of the leading NBFC’s in the country is in talks with banks to launch co-branded debit cards. This move is likely to consolidate their position in the market, widening their customer base and offering additional features to existing clients. The primary intention of these cards is to provide gold loans to customers who don’t have bank accounts.
With a profit of over 30% in the last fiscal, Manappuram is all set to diversify its portfolio, aiming to offer products and services such as vehicle loans, home loans, money transfer, SME loans, etc.
25th May 2016
Cashback Campaign on Debit Card launched by Karnataka Bank
Karnataka Bank recently launched a new Cashback Campaign designed to provide additional services to customers. The scheme is valid for a period of one month, with VISA debit cardholders eligible for this value added service. Cardholders are eligible to earn cashback to the tune of Rs 10 lakh, with members who have used their cards for a minimum transaction of Rs 200 eligible for this campaign.
This new campaign is likely to provide incentives to cardholders each time they use the card, making it a win-win situation for everyone involved.
24th May 2016
Debit Card Surcharge: HC seeks Response from Centre
A PIL filed in the Delhi High Court against illegal surcharges levied on certain debit card payments has caught national attention, with the High Court seeking a response from the Centre over this issue. A surcharge is currently charged on payments made through debit and credit cards, with the petitioner terming this as illegal and unlawful. The RBI and Ministry of Finance have been asked to file an affidavit in response to this claim, with August 19th set as the last date to receive this affidavit. A 2.5% surcharge is often levied each time people use their cards to purchase fuel or other items, while cash payments attract no such surcharge.
24th May 2016
Postal debit cards to work at bank ATMs in 6 months’ time
Customers with postal debit cards have a reason to rejoice as in a period of 6 months they can use their postal debit card for cash withdrawal from bank ATMs (Automated Teller Machines)In Chennai an ATM facility at the Park Town head post office on Monday was inaugurated. Chennai’s head post offices like Mylapore, Avadi and St.Thomas Mount boast of ATMs now. Park Town post office is starting with 250 customers who will be provided with debit cards. More customers are expected to get their cards soon. With these debit cards, customers can not only withdraw cash at ATMs, but also at post offices. Presently, in Chennai, there are 52 lakh postal savings account holders. It is being estimated that approximately 16,000 account holders have currently been given the debit cards.
2nd March 2016