|Quoting lapa_saab340 (Reply 59):|
Why would you use a debit card instead of credit card, or cash? Especially in the US, where only now chip technology is being finally introduced...
At my bank debit cards have the same protections that credit cards have. I've been using my debit card for the last 15 years and never had it compromised yet. It's a matter of convenience and safety. Why walk around with a lot of money on you when you don't need to?
|Quoting Tugger (Reply 60):|
Then you do not know what debit card is (in the USA). Less protection for you, higher costs for the merchant (which in the end means higher costs for you and everyone).
Nope you got it wrong. Debit cards are cheaper for the merchant then credit cards are. There are fees associated with taking credit cards. MC
& Visa are around 3% and Amex is 4% or so. Debit cards are 1 or 2%. And my bank doesn't charge me anything to use my debit card. In fact, my checking account is totally free of all charges, even checks are free!
As I said earlier, my bank says that if my debit card has the Visa logo on it, it's covered just as one of their credit cards are.
We have gone around on this subject before here. I suggest you have a nice serious sit down with your favorite banker and get yourself some banking education.
Now let me give you all a little lesson in paying your bills via you online bill pay system! There is your hole!
If you say make a payment using an electronic funds transfer, or have your bank print a check and send it for you this can happen to you.
When paying electronically, your bank can reverse the transmission of your funds for up to five years after the funds transfer was made! Yes, it's not a state law, it's the in the Federal Banking Law concerning fund transfers between banks.
Here is what happened. I paid my mortgage using my banks online electronic bill paying system. They sent the money to the bank handling my mortgage as I requested. Six months later I get a letter from my mortgage bank saying I am one month behind on my mortgage payment. I call them, give them the reference codes from the bank that issued to payments figuring I was all set. Nope, they wanted to see bank statements showing I made the payments each month. I sent those off to the mortgage bank. So the mortgage bank told me to go to the issuing bank find out what the ACH
codes were for those payments and send them to the mortgage bank. I did. I called the mortgage bank and nobody there seemed to know anything about this. All they could say is "you missed a payment last April", but my statement for April shows they received the payment and I have never been late in over 12 years of having this mortgage.
So I go down to a branch of the mortgage bank (Chase) and ask to see a bank officer. Nope, none there. The only people there are Chase agents to sell you financial products.They can't help you. The originating bank is the same way.
All they say is "We see you made the payment and Chase has it. We have the ACH
codes for their receipt of the payment". So I get the codes and send them to Chase. Chase said they will investigate. By this time I start getting phone calls from Chase collections threatening foreclosure if I don't bring the account current by TODAY!
Finally three months later Chase gets back to me. They said that 60 days after the payment was made the originating bank reversed the credit from my mortgage account. In other words they went into my Chase account and pulled a mortgage payment back. Chase sent me the notice they received from the bank when they did this. It only said "Reverse Debit" and the amount. Nothing more. So I take this down to the originating bank, who deny this ever happened. They said if they did this the mortgage payment should be sitting in my bank account. It never made it back there. So they wanted ME to explain where the money went.
So here we are two years later and the entire time nobody from either bank wants to discuss this. The originating bank said Chase received the payment so their part of the transaction is complete. Chase said the original bank took back the payment and there is nothing more that they can do. The only thing I can do now is hire an attorney specializing in mortgage financing for $10K retainer.
I have contacted the banking commissions about this. They investigated and found that the originating bank did send the funds over to Chase and that was the end of the story. There is nothing more that they can do. But they did remind me that any bank can reverse any transfer made for up to five years for any reason they see fit. In the meantime, I pay my mortgage each month by check at a Chase location. Checks cannot be reversed like bank transfers can.