What Is Debit Card? Definition Meaning

What is Debit Card? Definition

Debit bill of fare tin move live defined either inwards a unproblematic means or detailed mode depending on how it is perceived alongside honor to unlike senses of finance. Following statements are few selected ones that lucidly limited the definition of debit bill of fare inside their private perspectives. These definitions of debit bill of fare volition aid to larn its overall understanding.

1. In a General sense,

“Debit bill of fare is a facility or utility provided yesteryear banking companies to their customers to aid them execute (carry on, perform) unlike fiscal transactions anytime as well as anywhere that also alongside ease, comfort, speed as well as safety. Such a customer-friendly facility gives debit cardholders (users) a smarter as well as secured means to brand quick payments spell purchasing (i.e. during a sale transaction) diverse goods and/or services from whatever merchant (one that accepts a debit card) either from a traditional market or an online market.”

2. Within a Business perspective,

“Debit bill of fare is a suitable alternative to cash payment.”

3. In an Academic aspect,

“Debit bill of fare is an electronic bill of fare used to compile as well as execute fiscal transactions of its cardholder (user). Though this bill of fare belongs to its cardholder, inwards a existent sense, it e'er remains the holding of its issuing bank. Cardholder is costless to purpose it until its twenty-four hours of expiration provided he/she maintain a residue inwards his or her bank account.”

For a quicker reference, the definitions of debit bill of fare are also depicted below.

Image credits © Prof. Mudit Katyani.

Now let's hold our give-and-take to covert the important of debit card.

Meaning of Debit Card

The important of debit bill of fare is depicted inwards the nautical chart given equally follows.

Following 10 of import points overall explicate the important of debit card:

1. Debit bill of fare is a synthetic card, as well as its trunk is mainly of a laminated plastic sheet. Some other materials similar a magnetic stripe, a microchip, paints, a hologram, gelatine, etc., are also used inwards its making.
2. Generally, banking concern issues a debit bill of fare to those customers who get got applied for it, spell submitting their occupation concern human relationship opening form.
3. It entitles (gives usage rights to) a client to purpose it equally a mode of payment for buying goods and/or getting services.
4. It allows utilization of money alone inside or equal to the total of funds available inwards the respective banking concern accounts (like saving, current, as well as others) of a debit cardholder.
5. It gives debit cardholder a suitable selection (option) for making payment of his purchased goods and/or services without a request to behaviour as well as conduct hold cash (i.e. currency notes, coins, etc.).
6. It also acts equally an ATM bill of fare which tin move live used inwards Automated Teller Machines to withdraw and/or deposit the cash.
7. It enables the banking concern occupation concern human relationship of a debit cardholder to live automatically as well as instantaneously debited upward to the extent of a purchase amount.
8. It looks most similar a credit card. However, inwards illustration of a debit card, money tin move live withdrawn alone from a respective banking concern occupation concern human relationship of the debit cardholder. Here, no involvement is charged on money withdrawals.
9. Unlike a credit card, involvement is non charged on the withdrawals of a debit card. It is so, since no money is borrowed from a banking concern else one's ain money is withdrawn.
10. A debit bill of fare is a type of prepaid card, which helps you lot to command your expenditure (spending) of money.