Responsible financial management is important in today’s world especially since consumers are faced with a variety of choices that they can use to go about their spending and needs. With credit cards, debit cards, and ATMs being offered by banks and financial institutions today, people need to know what to choose from these and be able to take full advantage of whatever the plastic cards offer.
Among all of these, debit cards seem to be the best avenue to take since the user is not borrowing but is rather spending money he saved for his purchases. Still, users need to be fully informed about these debit cards and should use them wisely to avoid falling into bad financial situations like large transacting fees and debts.
First thing that users need to know are the types of debit card that banks and other financial institutions might be offering. Some charge fees per transaction while others substitute their ATM cards for debit cards. Knowing the differences and fees involved will make consumers more informed on how and when it is fully advantageous to use their debit cards.
Next is to hold on to receipts from all debit card transactions. This is useful when reviewing monthly statements and making sure that charges one did not make are not included and shouldered by one’s bank account.
Other basics with debit card usage include memorizing the Personal Identification Number or PIN, and not just writing it down on a piece of paper or worse, on the card itself. Keep debit cards, or all cards for that matter, in safe places. In cases of lost and stolen cards, report immediately to your bank so that the lost card may be deactivated and a new one can be issued out. Also, make sure PINs are not basic numbers such as birthdates or telephone numbers.
Lastly, always check the balances of the cards in one’s possession. This is the very basic step for responsible financial management. Some debit cards allow you access to funds that you may have set aside to take care of a check that has not been cleared yet.
