How to Transfer Money from Credit Card to Debit Card

A credit card is a payment card that enables you to borrow money from financial companies that issue the card. You add debts on yourself when using a credit card since you have to repay credit card debts monthly. The credit card issuers charge interest on the amount you borrow. There are various ways you can use a credit card. Today you will know how to transfer money from credit card to debit card.

A credit card works like a debit card, although there is a difference in acquiring the two cards. For a credit card, you need some credit scores. That is when applying for an unsecured credit card. You need a deposit amount when applying for a secured credit card. Debit cards do not require credit scores, nor deposit amounts to get them. All you need is a bank account.

Another significant difference between debit and credit cards is that credit cards give you a limit every month above which you cannot borrow any more unless you repay the existing debt. Debit cards allow you to use as much money as possible as long as your account has some balance in it. The only limitation when using a debit card can be the daily withdrawal limit at ATMs.

Who issues credit cards?

Banks and credit unions issue debit cards. Some mobile wallets, e.g Venmo issue credit cards. For you to get a credit card, you have to apply online or at a physical branch. Online application is faster and takes a shorter time.

There are two categories of credit cards that you can apply for. They include secured and unsecured credit cards. When applying for an unsecured one, you must have some credit scores. That means you have a credit history. You can have credit scores if you have been borrowing loans in your past.

Again, various unsecured credit cards require various credit scores. The more your credit scores, the higher the credit limit you get on your card. You have to note that unsecured credit cards for good credit scores have low-interest rates and higher credit limits, while vice versa is valid for credit cards for bad credit scores.

Secured credit cards do not require credit scores, and all you need is a deposit amount to act as security. The higher your deposit amount, the higher your credit limit. Secured credit cards are mainly suitable when it comes to building your credit score. That means you have no credit history and want to build one to qualify for loans and unsecured credit cards. However, people with bad credit scores can also apply for bad credit scores to rectify their poor credit history.

How are credit cards similar to debit cards?

how to transfer money from credit card to debit card

There are various ways credit cards are similar to debit cards. They include the following.

  • Credit and debit cards allow you to buy goods and services. You can pay for your goods and services using a credit card the same way you can pay with a debit card.
  • Debit cards and credit cards allow you to manage your accounts online. The card issuers allow you to create online accounts so that you can transact without the need for a payment card.
  • Both cards have expiry dates, the CVV, and the card numbers. These are the details that are very important when making online transactions.
  • You can use both debit and credit cards to withdraw money at an ATM. The only problem is that withdrawing money at an ATM with a credit card is costly.
  • Above all, credit and debit cards come in the form of plastic. That is, the cards are made of plastic materials.

How to transfer money from credit card to debit card

In this world, there is a need to transfer money from one platform to the other. That way, there is proper circulation of money from one person to another. The ability to transfer money from one platform to another allows people to purchase goods and services far away.

You can transfer money from a credit card to a debit card by using the debit card details online. And you require the account number that links to the debit card, together with your bank’s routing number. You can then initiate the transfer online, of which you will either transfer by ACH or wire transfer.

A wire transfer allows one to transfer money instantly and electronically, while ACH transfers allow you to transfer money across banks via an Automated Clearing House. ACH transfers take 1-3 days to complete, while wire transfers are complete within 24 hours.

Moving money from a credit card to a debit card is the same as transfering funds from a credit card account to a bank account. Therefore, you can also walk into a bank that issued the debit card, get a cash advance from the credit card over the counter, and then deposit it in your bank account. You will need to carry your identification document to help you in the process.

Also, you can visit an Automated Teller Machine (ATM) near you so long as it accepts your credit card service provider and then withdraw funds, after which you deposit the funds to the bank account linking with the debit card. The funds will still be available on the debit card when they get to the bank account. When depositing the funds, you have to write a deposit slip, put it in an envelope together with your money, put it in the deposit slot, and wait for your bank to deposit the funds in your account.

The last method to deposit money from your credit card to a debit card is by requesting a credit card convenience check that you can deposit in your bank and have the funds moved to your bank account that links to your debit card. The funds will still be available on your debit card once the deposit is successful.

I have come across the question; can you transfer money from a credit card to a bank account in various places. Now that you have seen that transferring money to a debit card is availing the money to your bank account and vice versa, I guess if you had the same question in your head, the answer is now with you.

Is it safe to transfer money with a credit card?

Transferring funds from your credit card account to your debit card or bank account is completely safe since card issuers usually put various security measures to safeguard the cards for illegal usage.

However, as a credit card user, you should also be very careful not to disclose sensitive information to others. You never know how others are thinking while still with you, no matter how much you trust them. That means you should keep your PIN a secret. Your online banking app passwords should also remain private and confidential.

How much do I pay to transfer money with a credit card?

Transferring money with a credit card is costly. When using a cash advance of your credit card, you must be prepared to pay hefty fees. For example, credit card issuers charge up to 5% of the transaction amount when you withdraw money at an ATM.

Again, when you transfer money from your credit card to your debit card account, you can part with fees ranging from 1%-5%, depending on your card issuer. Additionally, you may pay a cash advance fee that adds an extra burden to your overall charges on the credit card. Even though you can use your credit card to access cash advance, it is advisable to use the card for purchase only.

For your information, there is no grace period when you access a cash advance from your credit card. The credit card interest rates start accruing as soon as you get the advance.

Can someone use my credit or debit card?

Payment card issuers usually urge cardholders to keep the card details secure. That means you should not expose your card anyhow. The reason is that your card number, your expiry date, and the CVV can be used to make an online payment. Someone can use the card to buy goods online without the need for the card. Even though some card issuers have embraced the two-factor authentication process, some card issuers still lag behind, posing a great danger.

What should I do upon losing my credit or debit card?

If you lose your payment card, do not assume that everything is okay. You should make a point of locking the card so that no one can use the card details. You can lock your card online by logging in to your card online account or call your card issuer’s customer care to report the matter.

Once the card is deactivated, you can then start the process of getting a new card while in your mind you know that your funds are safe. There might be replacement charges, but that is not an issue compared to if your funds are lost to a fraudster.

Bottom line

A credit card helps one to borrow money from the card issuer, after which you return at the end of the month. The cards are different from debit cards in that, when using them, you are borrowing money from your card issuer, while debit cards allow you to spend what is in your account. You can easily transfer money from your credit card to a debit card.