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Advantages of Debit Cards

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yourmove
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Advantages of Debit Cards  Reply with quote  

Hello,
I am going off to college this coming fall and my dad and I are considering different banks and such.... I have a mastercard under his name now.. which i will probably get rid of this coming summer... I just use this for emergencies and little stuff that i need and pay him back..... I know ...Teenagers with credit cards.. are bad news.. well i am very responsible.... The main bank where i am going to college is Wachovia... My question is .. is it more cost efficient to transfer all my funds from my local bank to Wachovia and get a debit card...what kind of fees would they stick me with using the credit card for all my purchases....... Or should i get a credit card in my name and pay it off every month and this way build credit..... Again i wouldnt abuse either of the two.... I just want to make sure i take advantage of any oppotunities that are possible.
Thanks
Post Sun Mar 26, 2006 2:36 am
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Scarface622
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What card is for you really depends on what kind of person you are. If you're 100% positive that you won't abuse it, I would recommend getting a credit card in order to build credit. Though, a debit card is a lot less complicated. I don't have either of the two, and I get along fine. I keep my money where I can find it, and only carry it around when I need to spend it. I my get a credit card in a year or two.
Post Sun Mar 26, 2006 2:51 am
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JBendar
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Re: Advantages of Debit Cards  Reply with quote  

quote:
Originally posted by yourmove
Hello,
I am going off to college this coming fall and my dad and I are considering different banks and such.... I have a mastercard under his name now.. which i will probably get rid of this coming summer... I just use this for emergencies and little stuff that i need and pay him back..... I know ...Teenagers with credit cards.. are bad news.. well i am very responsible.... The main bank where i am going to college is Wachovia... My question is .. is it more cost efficient to transfer all my funds from my local bank to Wachovia and get a debit card...what kind of fees would they stick me with using the credit card for all my purchases....... Or should i get a credit card in my name and pay it off every month and this way build credit..... Again i wouldnt abuse either of the two.... I just want to make sure i take advantage of any oppotunities that are possible.
Thanks


There are pluses and minuses to debit and credit cards. Let's start with credit cards. Even if you are responsible, it is very tempting to get that new product that everyone else has. Before you know it you will have reached your credit limit, then what? This is not to say this will happen in your case. If you want to establish credit, it might be a good idea to get a credit card and make an effort to charge only what you can afford to pay in full each month. In that way you will show the company that issued the card to you that you are responsible. If handled properly, a credit card can be a good thing for you. Debit cards on the other hand are direct withdrawals from your account at the bank or company who sent you the card. You have a more difficult time challenging any purchases since the money has already been taken out of your account. In the case of a credit card, you can contest the purchase, and the credit card company will investigate the situation. You do not have to pay the charge until the investigation is complete. It could take several weeks or longer for them to determine if you are liable or not. These are some of the things you should know about credit and debit cards. There are many others, but experience is the best teacher.

JBendar Wink
Post Sun Mar 26, 2006 5:10 am
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rockhound
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income?  Reply with quote  

My first question would be, are you going to have an income when you go off to college? Or are you planning to live on your savings? If you don't have a job, my suggestion would be that no unemployed college student has any business having a credit card. If you plan to live off your savings, personally I wouldn't get a credit card or a debit card. Force yourself to go through the inconvenience of going to the bank every time you need money, because that way you will simply spend less by not being tempted into constant impulse buys. They use to have only ATM cards, so at least you had to walk to the ATM to get cash, but the debit card is a danger just because it makes spending easier, and that's not what you want as a college student with a finite amount of money at your disposal.
Post Sun Mar 26, 2006 12:28 pm
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yourmove
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Well, Iwill have a weekend job for the majority of my freshman year... During the past summer and the coming one I worked a full week and over time just saving money and looking towards the future... What i plan to do is work this entire summer coming up and put half in savings and the rest in a seperate bank account and use this money soley for college expensises... My dad us paying tution and board with the help of my schlorships..but i told him i will be responsible for all my other purchases.... I was thinking a debit card would be most convient....but i could also build credit with a credit card.... by the way what type of interest rates would i be working with an credit card....
Will
Post Sun Mar 26, 2006 1:44 pm
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joemeca
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From what you have said and knowing you can handle it and only using it when necessary I would get the credit card and build your credit and pay the bill on time monthly. Shocked
Post Sun Mar 26, 2006 3:35 pm
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JBendar
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quote:
Originally posted by yourmove
Well, Iwill have a weekend job for the majority of my freshman year... During the past summer and the coming one I worked a full week and over time just saving money and looking towards the future... What i plan to do is work this entire summer coming up and put half in savings and the rest in a seperate bank account and use this money soley for college expensises... My dad us paying tution and board with the help of my schlorships..but i told him i will be responsible for all my other purchases.... I was thinking a debit card would be most convient....but i could also build credit with a credit card.... by the way what type of interest rates would i be working with an credit card....
Will


Will:

There is a choice on the main menu for CARDS. Pick this choice and investigate what options you have. In order for a topic to be listed on the main menu, it is certain that plenty of information is available.

Joel Wink
Post Sun Mar 26, 2006 6:00 pm
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yourmove
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with a debit card where are they going to rape me with fees and such..
Post Sun Mar 26, 2006 9:01 pm
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JBendar
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quote:
Originally posted by yourmove
with a debit card where are they going to rape me with fees and such..


Normally there are no fees for debit cards, since it is your money you are dealing with. It may not be true in all cases, but from my experience there are no fees. Credit cards on the other hand is quite a different story. There are banks that charge you fees for withdrawing cash from an ATM. You have to inquire with your bank and see what their policy is. There is a bank in this area (headquarters in Pennsylvania) called PNC. They have ATMs in convenience stores where you can make cash withdrawals without fees. There may be other banks offering similar services, but I am not familiar with any others. The banks where I have my personal and business accounts do not charge any fees. Hope this eases your concerns.

JBendar Smile
Post Mon Mar 27, 2006 3:10 am
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financechoices
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I'd recommend a debit card. There are no fees involved and you can only spend money you actually have.

UK Finance Forum | Loans | Credit Cards
Post Mon Mar 27, 2006 9:47 am
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nkthen
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Yes, strongly agree.

After running some credit cards (along with nightmares Shocked ), I still love debit cards.
Post Mon Mar 27, 2006 11:14 am
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