Contrary to what many people may believe, it is very possible to exceed a balance on a debit card.
Many people are concerned with accumulating debt with a credit card as well as the many potential costs associated with them, in the form of fees and penalties.
Using a debit card rather than a credit card is often seen as a relatively easy way to get out of debt. Although this can be a useful part of a debt reduction strategy, it’s not a magic bullet in these circumstances.
Debit cards are often promoted as a cheap alternative to credit cards. While this can be true in many cases, overdraft fees from the associated account can be a trap for the unwary if they are not watched with reasonably care.
Debit cards are often seen as a way to avoid the debt traps that credit cards can sometimes lead card users in to. And by and large this is true. However there are hidden dangers that debit card users should be aware of. Overdrafts can be, if managed well, a very useful thing for a [...]