If I open a Savings Account, can I use my banking card to make online purchases?
Tuesday, November 3rd, 2009
at
11:18 pm
Benjamin M asked:
…Or does the card only serve soley to withdraw money from ATM’s? (Also, if it depends on the bank — can you tell me what main banks you know of that have logo-banking cards; i.e cards that can be used to withdraw at ATM’s & also make online purchases…?) Thanks.
…Or does the card only serve soley to withdraw money from ATM’s? (Also, if it depends on the bank — can you tell me what main banks you know of that have logo-banking cards; i.e cards that can be used to withdraw at ATM’s & also make online purchases…?) Thanks.
Filed under: Online Banking
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It will depend on the online site. If your bankcard has a Visa/MC symbol you will be able to use it just like a credit card but that is usually reserved for bank cards based on checking account. The debit card that you have for your Savings account in some cases can be used but it will depend on the online store or vendor. Look at their payment options and if DEBIT is one of them then you are good to go.
Savings account is limited to 6 withdraw transaction per month so you can’t get a “Visa/MC” card for a savings account. Those debit card with the “Visa/MC” logo are only for checking accounts.
First of all I may be wrong but I know of no bank that links a card directly to a savings account. If you were allowed to do that then it wouldn’t be a savings account anymore. The key word is “savings”.
A savings account is linked to a checking account. You would have to transfer funds (6 per month) to the checking account. otherwise they have overdraft fees associated with transferring funds from the savings to checking to cover transaction. It’s better to transfer on your own.
If your card has a credit company logo on it (Visa or MC), then you can use it exactly like a credit card with the number that goes on it, including for online purchases. Almost every bank I know of will offer you this option, though you may need a checking instead of a savings account to do so.
But even if you can’t open a checking account, one thing you can do is buy a “secured” card, meaning just give the bank some cash and they’ll give you a card with the amount on it that you gave them, after charging a small fee. It will have one of the logos on it and you can use it the same as any other credit card, up to the amount you put on it.
Savings account only comes with ATM cards. You will not be able to purchase anything from online.