Using a debit card is a great way to control your everyday spending. A debit card will usually be funded by your transaction account, so unlike using a credit card, it is more difficult to over-spend. There are also pre-paid debit cards, which can be credited with money and then can be used for purchases until the money runs out. You can choose from Visa or Mastercard debit card options, which can be used easily for face-to-face and online and purchases. Check out the pros and cons of the debit cards available below and decide which works best for you.
|Company||Product Name||Monthly Fee||Interest Rate||No Withdrawal Fees|
|$0||0.01%||at NAB, Redi ATM's||Apply NowMore Info+ Shortlist|
|NAB's Classic Banking offers no monthly account fees ever (including no fees for going over-drawn) no minimum deposit and a Visa Debit card with payWave facility.|
|$0||0%||at Citibank, Westpac, St George, Bank of Melbourne, Bank SA ATM's||Apply NowMore Info+ Shortlist|
|Visa debit card, free withdrawals at over 3,000 ATM's in Australia, fee-free overseas purchases, free bottle of wine on the Citibank Dining Program|
|$0||0%||at HSBC, Westpac, St George, Bank of Melbourne, Bank SA||Apply NowMore Info+ Shortlist|
|HSBC's transaction account offers a monthly $20 credit (up to $100) in return for depositing a minimum of $5,000 (commonly your salary) for the first 5 months.|
|$5||0||at ANZ ATMs||Apply NowMore Info+ Shortlist|
|ANZ Access Advantage features a Visa Debit card, ANZ Falcon fraud monitoring and Visa PayWave for contactless payment|
|$5*||0%||at St George, Westpac, Bank SA ATM's||Apply NowMore Info+ Shortlist|
|Visa Debit card, *no monthly fee when depositing a minimum $2,000 each month, 10 free monthly SMS alerts to keep track of your balance|
|$0||0%||at any Aussie ATM when withdrawing $200 or more||Apply NowMore Info+ Shortlist|
|The Orange Everyday transaction account from ING DIRECT offers everyday banking with no everyday fees including no monthly fees and fee free Australian ATM use when you withdraw $200 or more.|
|$5*||3.10%||at BOM, St George, Westpac, Bank SA ATM's||Apply NowMore Info+ Shortlist|
|Bank of Melbourne Sense Account combines a transaction and saving account (a Sense Everyday and Sense Savings Account). *It offers no monthly fee if you deposit $2000 or more per month (salary, etc).|
|$5*||0%||at Westpac, St George, Bank of Melbourne & Bank SA ATM's||Apply NowMore Info+ Shortlist|
|Westpac Choice offers unlimited transactions with *no monthly service fees if you deposit $2,000 or more each month and optional debit MasterCard.|
Giving you the convenience of a credit card, while only spending your own money, a debit card is an excellent choice for those people who cannot get or do not want a credit card. It is also ideal if you find having a credit card too tempting, where you end up spending more money than you actually have.
A debit card is linked to a transaction account, so when you make a purchase, the money comes straight out of that account. This makes budgeting much easier, as you can really only spend the money that you already have.
Due to the fact that a debit card is linked to a transaction account, one of the first things you will need to think about is finding an account that suits you. This includes thinking about account accessibility, various fees you will pay, and anything else that relates to choosing a transaction account. Find the right account for you, and it should be a long-lasting relationship.
Depending on the transaction account you choose, you will usually either be given a MasterCard or a Visa. Both have different features, but they basically boil down to the same thing. If you have a particular preference for one card over the other, make sure you choose an account that offers this card.
You will usually find that a debit card comes in extremely handy in day-to-day life. You will be able to use your own money to make purchases online, over-the-phone, in-store, and anywhere else you see a Visa or MasterCard sign. It gives you the freedom of plastic, without the drawbacks.
To help you choose the right debit card, here are some things you should consider.
It is important to stay on top of your account transactions, so make sure you have access to online or phone banking so you know exactly what is going in and out of the account. This can help to budget; it can prevent you from going over the limit and getting charged fees; and it can help you keep track of purchases to make sure there is no fraudulent activity on your account.
Try to choose an account that will charge you the minimum amount in fees for your banking habits. This can include ATM fees, monthly service fees, and foreign transaction fees if you make a lot of purchases overseas.
MasterCard or Visa:
MasterCard Applause or Visa Entertainment, MasterCard SecureCode or Verified by Visa. Both types of cards offer different services, but when it comes down to it, the services offered are fairly similar.
It is important to know that your account will be secure, so check if there are sufficient security measures on your account. This can include fraud monitoring, purchase protection, and secure online shopping.