A debit card is a plastic payment card that may be used to withdraw cash from a bank account. If you make a purchase with a debit card, the money will be taken straight out of your bank account and given to the store. If a store accepts credit cards, it often accepts debit cards as well, making this a simple and secure payment option.
How to Apply for Debit Card in Singapore
Customers need to provide a government-issued photo ID and proof of a current bank account balance when applying for the best debit cards Singapore. The procedure is straightforward, and it may be accomplished quickly and easily either online or at a physical bank branch.
The most reliable debit card options are as follows:
- Platinum Debit Card
- MasterCard Debit Card
- Visa Debit Card
A debit card can be requested through a bank or obtained online with the proper documentation and information. Once your application has been reviewed and approved, the card will be sent to you through the mail. Your new card is immediately usable for purchases.
What Kinds of Fees Are Associated with Debit Cards?
Customers can make purchases with debit cards by directly accessing the money they have on deposit at the issuing bank. It’s important to note that debit cards are distinct from credit cards in that the latter provides the cardholder with access to a line of credit. When you make a purchase with a debit card, the money is immediately taken out of your account and given to the store.
The main types of fees linked with debit cards are as follows:
- Commissions on Financial Deals: The transaction fee is one of the most typical debit card fees. Every time you make a purchase using your credit card, you will incur this fee. The cost is normally a small percentage of the overall purchase price, though this can vary by the card issuer and transaction type.
- Some banks even tack on an annual fee for maintaining a debit card.
- A foreign transaction fee may be assessed when using a debit card to make a purchase in a foreign currency.
- One potential downside to utilizing an ATM to access your funds is the fee that may be assessed.
Pros and Cons of Using a Debit Card
A debit card can be a useful tool for managing your finances, but there are also some potential drawbacks to using one. Here is a list of some pros and cons of using a debit card in Singapore:
- You can use a debit card to pay for items directly from your bank account, which can help you to keep better track of your spending.
- Debit cards can be a convenient way to make purchases, especially if you don’t have cash on hand.
- You can often get a debit card for free from your bank, and there are no annual fees associated with using one.
- Some debit cards offer rewards or cash-back programs.
- Debit cards can be used at most places credit cards are accepted.
- If you lose your debit card or it is stolen, someone could theoretically access your bank account and drain it of all its funds.
- You may be charged fees for using your debit cards, such as ATM fees or foreign transaction fees.
- Debit cards may have limits on how much you can withdraw from an ATM or spend in a day.