6 Replies to “What is the difference between a ATM card DEBIT card and a CREDIT card?”

  1. A debit card (also known as a bank card or check card) is a plastic card which provides an alternative payment method to cash when making purchases. Functionally, it can be called an electronic check, as the funds are withdrawn directly from either the bank account (often referred to as a check card), or from the remaining balance on the card. In some cases, the cards are designed exclusively for use on the Internet, and so there is no physical card.

    The use of debit cards has become widespread in many countries and has overtaken the cheque, and in some instances cash transactions by volume. Like credit cards, debit cards are used widely for telephone and Internet purchases.

    Debit cards can also allow for instant withdrawal of cash, acting as the ATM card for withdrawing cash and as a cheque guarantee card. Merchants can also offer “cashback”/”cashout” facilities to customers, where a customer can withdraw cash along with their purchase.A credit card is part of a system of payments named after the small plastic card issued to users of the system. It is a card entitling its holder to buy goods and services based on the holder’s promise to pay for these goods and services.The issuer of the card grants a line of credit to the consumer (or the user) from which the user can borrow money for payment to a merchant or as a cash advance to the user.

    A credit card is different from a charge card, where a charge card requires the balance to be paid in full each month. In contrast, credit cards allow the consumers to ‘revolve’ their balance, at the cost of having interest charged. Most credit cards are issued by local banks or credit unions, and are the shape and size specified by the ISO/IEC 7810 standard as ID-1.An ATM card (also known as a bank card, client card, key card or cash card) is an ISO/IEC 7810 card issued by a bank, credit union or building society.

    It can be used:

    at an ATM for deposits, withdrawals, account information, and other types of transactions, often through interbank networks
    Some ATM cards can also be used:

    at a branch, as identification for in-person transactions
    at merchants, for EFTPOS (point of sale) purchases
    Unlike a debit card, in-store purchases or refunds with an ATM card can generally be made in person only, as they require authentication through a personal identification number or PIN. In other words, ATM cards cannot be used at merchants that only accept credit cards.

    However, other types of transactions through telephone or online banking may be performed with an ATM card without in-person authentication. This includes account balance inquiries, electronic bill payments or in some cases, online purchases (see Interac Online).

    In some countries, the two functions of ATM cards and debit cards are combined into a single card called a debit card or also commonly called a bank card. These are able to perform banking tasks at ATM’s and also make point-of-sale transactions, both functions using a PIN. Canada’s Interac and Europe’s Maestro are examples of networks that link bank accounts with point-of-sale equipment.

    Magnetic stripe cloning can be detected by the implementation of magnetic card reader heads and firmware that can read a signature embedded in all magnetic stripes during the card production process. This signature known as a “MagnePrint” or “BluPrint” can be used in conjunction with common two factor authentication schemes utilized in ATM, debit/retail point-of-sale and prepaid card applications.

    ATM Cleaning Cards are the primary means of cleaning ATM machines to ensure that the machine stays functioning properly.

  2. Most Banks no longer offer a plain ATM card which was good only at ATM’s. Most offer a debit/credit card which takes money directly out of your checking account no matter if you use is like a credit card or a debit card. A credit card means that you are borrowing money at a yearly interest rate to use.

  3. If you have money in your account, you use ATM (Automatic Teller Machine) cards, which is a Debit card.

    If you do not have balance in your account, you will use a Credit card, which is equal to borrowing.

  4. An ATM Card provides access to your Savings or Checking Account at ATM machines, or wherever the Interlink logo is found.

    A Visa Debit Card is available to members with a Western Checking Account. It is an ATM Card that provides access to your Savings or Checking Account at ATM machines. Plus, it allows you to make purchases everywhere Visa debit cards are accepted. The purchase amounts are deducted from your Checking Account.

    A Visa Credit Card provides access to a line of credit and allows you to make purchases and cash advances everywhere Visa credit cards are accepted.

  5. Both the cards can be used in the ATM. Debit card is your saved money in savings which is being withdrawn. Credit card is money you are borrowing from the bank to pay them later.

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