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DEBIT CARD, DEBIT CARD, CREDIT CARDCREDIT CARD

& & SMART CARD SMART CARD

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INTRODUCTIONINTRODUCTION A few years ago it was easy to tell the A few years ago it was easy to tell the

difference between a credit card and a difference between a credit card and a debit card. debit card.

You used your debit card at the ATM with a You used your debit card at the ATM with a personal identification number, and you personal identification number, and you used your credit card for purchases. used your credit card for purchases.

But today both types of cards carry familiar But today both types of cards carry familiar credit company logos, both can be swiped credit company logos, both can be swiped at the checkout counter and both can be at the checkout counter and both can be used to make online purchases. used to make online purchases.

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DEBIT CARDDEBIT CARD A Debit card is a plastic card which A Debit card is a plastic card which

provides a alternative payment method provides a alternative payment method to cash when making purchases.to cash when making purchases.

Functionally, it can be called an Functionally, it can be called an electronic check, as the funds are electronic check, as the funds are withdrawn directly from either the withdrawn directly from either the bank account, or from the remaining bank account, or from the remaining balance on the card.balance on the card.

It is also known as BANK CARD or It is also known as BANK CARD or CHECK CARD.CHECK CARD.

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Debit cards can also allow for Debit cards can also allow for instant withdrawal of cash, acting as instant withdrawal of cash, acting as the ATM card for withdrawing cash the ATM card for withdrawing cash and as a cheque guarantee card. and as a cheque guarantee card. Merchants can also offer Merchants can also offer "cashback"/"cashout" facilities to "cashback"/"cashout" facilities to customers, where a customer can customers, where a customer can withdraw cash along with their withdraw cash along with their purchase.purchase.

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i4 MAESTRO DEBIT CARD

First Debit Gold card

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Debit Card UsesDebit Card Uses

It is used instead of a check to make It is used instead of a check to make purchases, anywhere Visa is purchases, anywhere Visa is accepted accepted

It is used instead of a credit card to It is used instead of a credit card to pay bills such as utilities, insurance pay bills such as utilities, insurance and car payments and car payments

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Advantages of a debit Advantages of a debit cardcard

1.1. A consumer who is not credit worthy and A consumer who is not credit worthy and may find it difficult or impossible to obtain may find it difficult or impossible to obtain a credit card can more easily obtain a debit a credit card can more easily obtain a debit card.card.

2.2. Use of a debit card is limited to the existing Use of a debit card is limited to the existing funds in the account to which it is linked.funds in the account to which it is linked.

3.3. For most transactions, a check card can be For most transactions, a check card can be used to avoid check writing altogether. used to avoid check writing altogether.

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Disadvantages of a Disadvantages of a debit carddebit card

Some banks are now charging over-Some banks are now charging over-limit fees or non-sufficient funds fees limit fees or non-sufficient funds fees based upon pre-authorizations.based upon pre-authorizations.

In some countries debit cards offer In some countries debit cards offer lower levels of security protection lower levels of security protection than credit cards.than credit cards.

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CREDIT

CARD

A CREDIT CARDA CREDIT CARD

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CREDIT CARDCREDIT CARD Credit cards are similar to debit cards. They Credit cards are similar to debit cards. They

give you access to funds in your credit give you access to funds in your credit account.account.

Your card is swiped through a special Your card is swiped through a special machine in a store. In this way the magnetic machine in a store. In this way the magnetic strip on the back of the card, which holds strip on the back of the card, which holds information, can be read.information, can be read.

A A credit cardcredit card is part of a system of is part of a system of payments named after the small plastic card payments named after the small plastic card issued to users of the system. It is a card issued to users of the system. It is a card entitling its holder to buy goods and entitling its holder to buy goods and services based on the holder's promise to services based on the holder's promise to pay for these goods and services. pay for these goods and services.

Debit Card UsesDebit Card Uses

It is used instead of a check or cash to It is used instead of a check or cash to make purchases, anywhere Visa is make purchases, anywhere Visa is accepted accepted

It is used instead of a credit card to pay It is used instead of a credit card to pay bills such as utilities, insurance and car bills such as utilities, insurance and car payments payments

It can be used as a card to withdraw It can be used as a card to withdraw money from an ATM, as longs as you money from an ATM, as longs as you have a credit balance.have a credit balance.

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Smart CardSmart Card

These cards have a microprocessor These cards have a microprocessor (instead of a magnetic strip) (instead of a magnetic strip) embedded in them. embedded in them.

Smart cards are similar to a debit or Smart cards are similar to a debit or credit card credit card BUT BUT hold more hold more information and are more secure.information and are more secure.

Smart cards are used to pay for Smart cards are used to pay for goods and services just like debit goods and services just like debit and credit card.and credit card.

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A SMART CARTA SMART CART

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