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Debit Card Charges You Should Be Aware Of

With the rise of digitisation, every banking aspect has gone online. You no longer need to deal with paperwork or carry cash physically. Every transaction happens online. To increase convenience, banks issue Debit Cards, which give you access to your Bank Account electronically. You may either use the card to swipe and make transactions physically or link it online to make digital payments.

Using the card, you can also access instant cash through automated teller machines or ATMs. It is the best way to make quick transfers without entering bank details. Also, discounts and cashbacks for shopping and making bill payments online are accessible. Hence, consider a Debit Card if you have not already enjoyed such benefits. However, such convenience comes with some costs associated with it. Understanding the associated charges lets you use them effectively:

Annual maintenance fee

Banks charge a service fee for different features associated with your Savings Account. Debit Cards are one of them. Hence, even if it comes with the welcome kit free of cost, you need to pay for its maintenance. This yearly fee ranges between Rs. 100 to Rs. 500. The amount may be subject to variation depending on the banks. Ideally, commercial banks charge higher than small-scale financial institutes.  

Transaction costs

Banks have various policies for the transaction fees applied. Typically, the transaction made from the same bank's ATM is free of cost. However, this limits a specific number of monthly transactions on other banks' ATMs. Also, you are charged separately if you cross the number of free transactions for a month. This differs for domestic and international payments. Check the rules for them when you apply for Debit Card to avoid unnecessary charges.

Card replacement fee

There is always a slim chance of misplacing your card. Theft or loss is possible with such cards. Also, physical damage due to wear and tear or mishandling impacts its usage. Hence, banks provide replacement options. They ask the reason and let you apply for a Debit Card online. However, this, too, comes at a cost. A replacement fee is applicable in such cases.

Duplicate PIN generation expense

There are occasions when generating a new PIN is essential. You might forget or want to stay cautious when you lose your card. In both scenarios, new pin generation is best done at the ATM. The process is simple and quick. But since changing a PIN affects your future transactions, it comes with a fee. You get charged a nominal fee for using the regeneration service.
Understanding them lets you use your card effectively through the Banking app and ATMs.