banking

What is a debit card?

 

What is a debit card?

The Bankrate.com financial term of the day is: "Debit card."

A debit card is a very valuable piece of plastic. It's a kind of key that opens your bank account and removes the money when you buy something. There are direct debit cards that require you to enter a personal identification number, or PIN, at the point of sale to release the purchase amount from your checking account almost immediately. There are also signature-based, or deferred, debit cards that require you to sign your name. With these cards, the money to make the purchase is removed from your account in two or three days.

A debit card is a good choice if you want to go shopping without having to carry around a lot of cash and without the risk of credit card debt.

To find the best checking account, visit the checking and savings section at Bankrate.com.

 

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