12 Oct - 4 min read
The way we pay for things has evolved greatly over the years. Instead of paying only with cash, today you can choose to pay with cash, credit card, e-wallet, or a debit card.
Depending on individual preferences, some of us still prefer to use physical cash despite the rise of new and better payment technologies. With cashless payment methods, you no longer have the hassle of storing change in your wallet or even be at risk of snatch thieves.
As an alternative to cash, the humble debit card is often overlooked as a payment instrument. Often overlooked as “just an ATM card” to withdraw cash from your savings or current account, it is actually more convenient than using cash – and it comes with a few extra benefits that you may not realise at first. Here are some of them.
Having some cash with you at all times is necessary, but carrying too much cash isn’t just a safety risk, it’s also inconvenient and sometimes uncomfortable. Furthermore, with the on-going pandemic, cashless and contactless transactions are encouraged as a measure to stay safe.
A debit card not only negates the need to carry too much cash, all debit cards issued in Malaysia have contactless payment features built in. You’ll know your debit card has it when you see the familiar “wave” logo on the card. Simply tap your card on the payment terminal to authorise a payment, eliminating the need to hand over your card to the cashier.
Debit cards also come with many security features. The contactless feature comes with a typical purchase limit of RM250. Any purchase exceeding this amount will require you to enter your card’s PIN number for an extra layer of security. You can change the purchase limit by yourself at the bank or via your online banking portal.
Separately, if you’ve ever had the experience of losing your wallet, then you would know the upsetting truth that your money is long gone. But if your debit card is lost or stolen, the bank can immediately block the card once you’ve informed them, making it impossible to use for payment. You can also opt for transaction alerts to be sent to your registered phone number every time a purchase is made on your debit card, so that you’ll be able to instantly know when an unidentified or unauthorised transaction is made.
Just like how cash is usually stored in your wallet, a debit card is directly linked to your savings or current account. This means that whenever you make a purchase, the amount is directly deducted from your account. Moreover, a debit card does not allow payments that exceed your account balance. Unlike cash, where most of us tend to spend it all whenever we see it, a debit card could help control this habit.
Thus, you’ll be able to track your spending habits, avoid impulsive purchases and most importantly stay within your budget every month. Plus, it’s always a good idea to visualise how much you have in your account to keep up with your savings.
Finally, here’s a little-known fact: many banks run campaigns with rewards or discounts when you shop or dine at selected locations with your credit card and/or debit card.
You can also enjoy cashback, instant rebates, or other rewards that you won’t enjoy if you paid with cash. These bank campaigns occur regularly throughout the year, so it’s best to keep updated with the latest promotions by checking out your bank’s websites and newsletters.
Also, whenever you spend with your debit card, you’re not incurring any debt. That means no interest charges to worry about!
So, if you’re thinking of a way to go cashless, stop impulsive spending, and keeping track of your expenditure, a debit card could be the best payment medium for you. It’s quick, secure, and convenient. And you get to enjoy rewards when you spend! Find out more at Pay With Debit’s website on how you can benefit from a debit card.
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