A debit card is among the various payment cards that allow you to buy goods and services online and in physical stores. Others include credit and prepaid debit cards. You can get a debit card when you open a checking account and request it. Some savings accounts also issue debit cards but with limited usage. Remember that savings account mainly to keep the money for future use and earn interest in the process. We shall see how to transfer money from debit card to bank account.
You can do various things with a debit card, making them some of the excellent tools you can have in your wallet. Instead of having to line up at a bank to carry out transactions or using the internet to access your bank online, you can just use your card successfully. The only disadvantage with the card is that its usage is limited to the urban centers as most rural areas do not have access to banking services.
People usually confuse debit cards with credit cards. The two are payment cards but are totally different. Debit cards allow you to use the available balance in your checking account, and if the balance is exhausted, the card is of no use. A credit card allows you to borrow from your card issuer when the need arises. You then pay your debt at the end of the month with some interest.
How to get a debit card?
Getting a debit card is easy as long as you have a checking account. Therefore, the first step to getting a debit card is opening a checking account with your most suitable bank or credit union. Most financial services companies require you to have a specific opening balance to get your account running. Again, when opening a checking account, you need the following things.
- Social Security Number
- Identification documents such as National Identity Card, Driver’s License, or passport.
- Phone number
- Email address, and
- Physical address
Apart from the above, your bank may request more things which you should produce without delay. Once your card is ready, you usually receive it at your physical location or pick it up from the nearest branch. You can then use it for various kinds of transactions. For example, you can transfer money from a debit card to a bank account online. I didn’t tell you that you can manage your card online using a mobile banking app from your card issuer.
Who can use a debit card?
Anybody with the ability to act decisively can use a debit card. That means adults and school-going kids can use debit cards. However, students below 18 years must have their parents or guardians stand as guarantors when getting the cards. Most debit card issuers have features that you can use to manage the card usage by limiting the amount of money your kid can use within a given time.
How to use a debit card
Using a debit card is not as complicated as you are about to see. The following are ways you can use the card. Have a look.
i ) Buy goods and services.
You can purchase goods as well as services online and at physical places. When purchasing goods online, you require the card number, the expiration date, and CVV/ validation code. When buying goods and services at a physical store, you can swipe or tap at the register. There are debit cards that issue rewards such as cash backs, miles, and points. If you get such a card, you will realize the value of your money as you use the card.
ii) Send money
You can transfer money from your card account online or at an ATM point. If your card issuer allows you to manage your card online, you just need to log into your account, access your balance, and navigate the money transfer menu. You can send money to another person’s debit card or even transfer money to someone else’s credit card with a few taps on your phone or tablet.
You can even add your card to money transfer apps such as PayPal, Payoneer, Venmo, Cash App, and the rest and use it to fund your transfers. And by the way, using your card on those applications is free of charge.
iii ) Withdraw money at an ATM
Debit cards allow you to withdraw money from your checking account at an ATM point. ATMs (Automatic Teller Machines) are electronic machines that allow you to withdraw money from your account using debit, credit, or prepaid debit cards. When withdrawing funds from an ATM, you need to insert your card into the machine just under the screen, then input your PIN to authorize transactions. You then navigate to the withdraw money section, tap on it, enter the amount to withdraw, and proceed to withdraw.
Alternatively, you can withdraw funds over the counter at banks and credit unions supporting your card. You only need to carry your identification document to prove that you are the card owner.
vi) Pay bills
You can use your card to pay electricity, water, internet, and other bills online or at a branch. Instead of paying manually, you can just set up automatic payments so that your issuer deducts the money and deposits it in the service provider every month. That is possible if you pay a fixed amount of money every month.
How to transfer money from a debit card to a bank account?
You do not have to transfer money to another bank using your checking account and routing numbers, as you can just use your debit card to carry out the transfer. There are various ways you can move money from your card to a bank account. They include the following.
i) Use Zelle
Zelle is a digital money transfer service that allows you to move money from one bank to another. The platform also accepts Visa® or Mastercard® debit cards to fund your transfers. If you use Zelle to transfer money to your account, the funds reach immediately or within a few minutes if no technical hitches arise.
ii) Use a mobile money wallet
Various mobile money wallets such as PayPal, Payoneer, Facebook Pay, Venmo, and others allow you to add your card to your wallet account. You then request the amount of money you would like to transfer to a bank from the card issuer, then carry out the transfer. PayPal and Venmo allow you to send funds instantly or within three business days. Mobile wallets also accept credit cards. You can use them to transfer money from a credit card to a debit card.
iii) Use a money transfer agent
Various money transfer agents operate in the country, including Western Union, MoneyGram, Wise, and Remitly. They facilitate the transfer of money both domestically and internationally. Since they accept debit cards, you can use your card to fund a transfer to a domestic or an international bank.
vi) Use the card’s bank account
As I said earlier, debit cards usually link to checking bank accounts. Therefore, you can just use your checking account to transfer funds to the said bank account. To do so, you can log into your bank account online, enter the account and routing numbers of the concerned bank account, and transfer accordingly. You can either use wire or ACH transfer, depending on your preferences. ACH transfers are safe but take longer to complete compared to wire transfers.
You can also use Zelle to move money from your bank to the other bank. You require the recipient’s phone or email address to send money with Zelle, and you are good to go. Zelle, however, does not allow international money transfers.
Are debit cards secure to use?
Debit cards are secure to use because the issuers have put a lot of security measures to safeguard your money. First of all, the cards come with a PIN that allows you to prevent someone from withdrawing money from your account. Again, some institutions have developed a two-way authentication technology whereby your issuer sends you a message in a registered phone number when the card is inserted in an ATM slot. You just need to accept and continue with your withdrawal if it is you.
Another technique to secure your cards is by using a data encryption technique. This method makes sure that no third party can access your data as you communicate with your issuer’s servers. That way, hackers cannot know your critical information such as PIN or passphrase. Furthermore, when using your card with an app, banks allow you to use biometric details such as Touch ID and Face Unlock to access your account. No one else has similar biodata, thus making your account more secure.
Moreover, debit card issuers enable alerts and notification features to receive updates about account activities. If someone tries to do any transaction unlawfully, you can get a notification and take the necessary action.
Bottom line
A debit card is among the various payment cards such as prepaid and credit cards and allows you to access money from your checking account. You can get a debit card if you open a checking account and request the card. Banks and credit unions are the financial companies that issue debit cards. A debit card allows one to purchase goods and services online and in physical stores.
