Types of debit card systems
There are currently three ways that debit card transactions are processed: EFTPOS (also known as ''online debit'' or ''PIN debit''), offline debit (also known as ''signature debit''), and the Electronic Purse Card System. One physical card can include the functions of all three types, so that it can be used in a number of different circumstances. The 5 major debit card networks areOnline debit system
Online debit cards require electronic authorization of every transaction and the debits are reflected in the user's account immediately. The transaction may be additionally secured with theOffline debit system
Offline debit cards have theElectronic purse card system
Prepaid debit cards
Nomenclature
Prepaid debit cards are reloadable and can be also called reloadable debit cards.Users
The primary market for prepaid debit cards has historically been unbanked people; that is, people who do not use banks or credit unions for their financial transactions.Advantages
Advantages of prepaid debit cards include being safer than carrying cash, worldwide functionality due to Visa and MasterCard merchant acceptance, not having to worry about paying a credit card bill or going into debt, the opportunity for anyone over the age of 18 to apply and be accepted without checks on creditworthiness, and the option to deposit paychecks and government benefits directly onto the card for free. A newer advantage is use of EMV technology and even contactless functionality, which had previously been limited to bank debit cards and credit cards.Risks
* If the card provider offers an insecure website for the cardholder to check the balance on the card, this could give an attacker access to the card information. * If the user loses the card, and has not somehow registered it, the user likely loses the money. * If a provider has technical issues, the money might not be accessible when a user needs it. Some companies' payment systems do not appear to accept prepaid debit cards.Types
Prepaid cards vary by the issuer company: key and niche financial players (sometimes collaborations between businesses); purpose of usage (transit card, beauty gift cards, travel card, health savings card, business, insurance, others); and regions.Governments
As of 2013, several city governments (includingImpact of government-mandated fee-free bank accounts
In January 2016, the UK government introduced a requirement for banks to offer fee-free basic bank accounts for all, having a significant impact on the prepaid industry, including the departure of a number of firms.Plastic card
Plastic cards usually serve asType
Plastic cards (standard sizeProduction
In their January 2020 report, the International Card Manufacturers Association's (ICMA) indicates a production increase to a record-high of 37.1 billion cards and $27 billion revenue in 2019. Forecasts predicted market growth at a rate of 8.2% from 2021 to 2028, which was counteracted by losses through the Covid pandemic.= Technology
= Apart from "regular", i.e. non-electronic cards, there is considerable overlap between "chip-enabled", "digital" and "smart" cards, mostly for historical reasons in the development of the current fully equipped smart cards.=Applications
=Non-electronic security features
Plastic cards may be printed with the following security-relevant features, some of them also containing personal information, others only serving as anti-Consumer protection
Consumer protections vary, depending on the network used. Visa and MasterCard, for instance, prohibit minimum and maximum purchase sizes, surcharges, and arbitrary security procedures on the part of merchants. Merchants are usually charged higher transaction fees for credit transactions, since debit network transactions are less likely to be fraudulent. This may lead them to "steer" customers to debit transactions. Consumers disputing charges may find it easier to do so with a credit card, since the money will not immediately leave their control. Fraudulent charges on a debit card can also cause problems with a checking account because the money is withdrawn immediately and may thus result in an overdraft or bounced checks. In some cases debit card-issuing banks will promptly refund any disputed charges until the matter can be settled, and in some jurisdictions the consumer liability for unauthorized charges is the same for both debit and credit cards. In 2010Financial access
Debit cards and secured credit cards are popular among college students who have not yet established a credit history. Debit cards may also be used byIssues with deferred posting of offline debit
The consumer perceives a debit transaction as occurring in real time: the money is withdrawn from their account immediately after the authorization request from the merchant. In many countries, this is correct for online debit purchases. However, when a purchase is made using the "credit" (offline debit) option, the transaction merely places anInternet purchases
Debit cards may also be used on the Internet, either with or without using a PIN. Internet transactions may be conducted in either online or offline mode. Shops accepting online-only cards are rare in some countries (such as Sweden), while they are common in other countries (such as the Netherlands). For a comparison, PayPal offers the customer to use an online-only Maestro card if the customer enters a Dutch address of residence, but not if the same customer enters a Swedish address of residence. Internet purchases can be authenticated by the consumer entering their PIN if the merchant has enabled a secure online PIN pad, in which case the transaction is conducted in debit mode. Otherwise, transactions may be conducted in either credit or debit mode (which is sometimes, but not always, indicated on the receipt), and this has nothing to do with whether the transaction was conducted in online or offline mode, since both credit and debit transactions may be conducted in both modes.Debit cards around the world
In some countries, banks tend to levy a small fee for each debit card transaction. In other countries (for example, the UK) the merchants bear all the costs and customers are not charged. There are many people who routinely use debit cards for all transactions, no matter how small. Some (small) retailers refuse to accept debit cards for small transactions, where paying the transaction fee would absorb the profit margin on the sale, making the transaction uneconomic for the retailer. Some businesses do not accept card payments at all, even in an era with declining use of cash. This still happens for a variety of reasons,Angola
The banks in Angola issue by official regulation only one brand of debit cards:Armenia
ArCa (Armenian Card), a national system of debit (ArCa Debit and ArCa Classic) and credit (ArCa Gold, ArCa Business, ArCA Platinum, ArCa Affinity and ArCa Co-branded) cards popular in Armenia. Established in 2000 by 17 largest Armenian banks.Australia
Debit cards inBahrain
In Bahrain debit cards are under Benefit, the interbanking network for Bahrain. Benefit is also accepted in other countries though, mainly GCC, similar to the Saudi Payments Network and the Kuwaiti KNET.Belgium
In Belgium, debit cards are widely accepted in most businesses, as well as in most hotels and restaurants. Smaller restaurants or small retailers often accept either; only debit cards or cash-only, but noBrazil
In Brazil debit cards are called ''cartão de débito'' (singular) and became popular in 2008. In 2013, the 100 millionth Brazilian debit card was issued. Debit cards replaced cheques, common until the first decade of the 2000s. Today, the majority of the financial transactions (like shopping, etc.) are made using debit cards (and this system is quickly replacing cash payments). Nowadays, the majority of debit payments are processed using a card + pin combination, and almost every card comes with a chip to make transactions. The major debit card vendors in Brazil are Visa (with Visa Electron, Electron cards), Mastercard (with Maestro (debit card), Maestro cards), and Elo (card association), Elo.Benin
Bulgaria
In Bulgaria, debit cards are accepted in almost all stores and shops, as well as in most of the hotels and restaurants in the bigger cities. Smaller restaurants or small shops often accept cash only. All Bulgarian banks can provide debit cards when you open a bank account, for maintenance costs. The most common cards in Bulgaria are contactless (and Chip&PIN or Magnetic stripe and PIN) with the brands of Debit Mastercard and Visa Debit (the most common were Maestro and Visa Electron some years ago). All POS terminals and ATMs accept Visa, Visa Electron, Visa Debit, VPay, Mastercard, Debit Mastercard, Maestro and Bcard. Also some POS terminals and ATMs accept Discover, American Express, Diners Club, JCB and UnionPay. Almost all POS terminals in Bulgaria support contactless payments. Credit cards are also common in Bulgaria. Paying with smartphones/smartwatches at POS terminals is also getting common.Burkina Faso
Canada
Canada has a nationwide EFTPOS system, called Interac, Interac Direct Payment (IDP). Since being introduced in 1994, IDP has become the most popular payment method in the country. Previously, debit cards have been in use for Automated bank machine, ABM usage since the late 1970s, with credit unions in Saskatchewan and Alberta introducing the first card-based, networked ATMs beginning in June 1977. Debit cards, which could be used anywhere a credit card was accepted, were first introduced in Canada by Saskatchewan Credit Unions in 1982. In the early 1990s, pilot projects were conducted among Canada's six largest banks to gauge security, accuracy and feasibility of the Interac system. Slowly in the later half of the 1990s, it was estimated that approximately 50% of retailers offered Interac as a source of payment. Retailers, many small transaction retailers like coffee shops, resisted offering IDP to promote faster service. In 2009, 99% of retailers offer IDP as an alternative payment form. In Canada, the debit card is sometimes referred to as a "bank card". It is a client card issued by a bank that provides access to funds and other bank account transactions, such as transferring funds, checking balances, paying bills, etc., as well as point of purchase transactions connected on the Interac network. Since its national launch in 1994, Interac Direct Payment has become so widespread that, as of 2001, more transactions in Canada were completed using debit cards than cash. This popularity may be partially attributable to two main factors: the convenience of not having to carry cash, and the availability of automated bank machines (ABMs) and direct payment merchants on the network. Debit cards may be considered similar to stored-value cards in that they represent a finite amount of money owed by the card issuer to the holder. They are different in that stored-value cards are generally anonymous and are only usable at the issuer, while debit cards are generally associated with an individual's bank account and can be used anywhere on the Interac network. In Canada, the bank cards can be used at POS and ATMs. Interac Online has also been introduced in recent years allowing clients of most major Canadian banks to use their debit cards for online payment with certain merchants as well. Certain financial institutions also allow their clients to use their debit cards in the United States on the NYCE, NYCE network. Several Canadian financial institutions that primarily offer VISA credit cards, including Canadian Imperial Bank of Commerce, CIBC, Royal Bank of Canada, RBC, Scotiabank, and TD Canada Trust, TD, also issue a Visa Debit card in addition to their Interac debit card, either through dual-network co-branded cards (CIBC, Scotia, and TD), or as a "virtual" card used alongside the customer's existing Interac debit card (RBC). This allows for customer to use Interlink (interbank network), Interlink for online, over-the-phone, and international transactions and Plus (interbank network), Plus for international ATMs, since Interac isn't well supported in these situations.Consumer protection in Canada
Consumers in Canada are protected under a voluntary code entered into by all providers of debit card services, The Canadian Code of Practice for Consumer Debit Card Services (sometimes called the "Debit Card Code"). Adherence to the Code is overseen by the Financial Consumer Agency of Canada (FCAC), which investigates consumer complaints. According to the FCAC website, revisions to the code that came into effect in 2005 put the onus on the financial institution to prove that a consumer was responsible for a disputed transaction, and also place a limit on the number of days that an account can be frozen during the financial institution's investigation of a transaction.Chile
Chile has an EFTPOS system called ''Redcompra'' (Purchase Network) which is currently used in at least 23,000 establishments throughout the country. Goods may be purchased using this system at most supermarkets, retail stores, pubs and restaurants in major urban centers. Chilean banks issue Maestro, Visa Electron and Visa Debit cards.Colombia
Colombia has a system called Redeban-Multicolor and Credibanco Visa which are currently used in at least 23,000 establishments throughout the country. Goods may be purchased using this system at most supermarkets, retail stores, pubs and restaurants in major urban centers. Colombian debit cards are Maestro (pin), Visa Electron (pin), Visa Debit (as credit) and MasterCard-Debit (as credit).Côte d'Ivoire
Denmark
The Danish debit card Dankort is ubiquitous in Denmark. It was introduced on 1 September 1983, and despite the initial transactions being paper-based, the Dankort quickly won widespread acceptance. By 1985 the first EFTPOS terminals were introduced, and 1985 was also the year when the number of Dankort transactions first exceeded 1 million. Today Dankort is primarily issued as a Multicard combining the national Dankort with the more internationally recognized Visa (denoted simply as a "Visa/Dankort" card). In September 2008, 4 million cards had been issued, of which three million cards were Visa/Dankort cards. It is also possible to get a Visa Electron debit card and MasterCard. * In 2007, :da:PBS, PBS (now called Nets Group, Nets), the Danish operator of the Dankort system, processed a total of 737 million Dankort transactions. Of these, 4.5 million were processed on just a single day, 21 December. This remains the current record. * , there were 3.9 million Dankort cards in existence. * , more than 80,000 Danish shops had a Dankort terminal, and another 11,000 internet shops also accepted the Dankort.Finland
Most daily customer transactions are carried out with debit cards or online giro/electronic bill payment, although credit cards and cash are accepted. Checks are no longer used. Prior to European standardization, Finland had a national standard (''pankkikortti'' = "bank card"). Physically, a ''pankkikortti'' was the same as an international credit card, and the same card imprinters and slips were used for ''pankkikortti'' and credit cards, but the cards were not accepted abroad. This has now been replaced by the Visa and MasterCard debit card systems, and Finnish cards can be used elsewhere in the European Union and the world. An electronic purse system, with a chipped card, was introduced, but did not gain much traction. Signing a payment offline entails incurring debt, thus offline payment is not available to minors. However, online transactions are permitted, and since almost all stores have electronic terminals, today also minors can use debit cards. Previously, only cash withdrawal from ATMs was available to minors (''automaattikortti'' (ATM card) or Visa Electron).France
Carte Bancaire (CB), the national payment scheme, in 2008, had 57.5 million cards carrying its logo and 7.76 billion transactions (POS and ATM) were processed through the e-rsb network (135 transactions per card mostly debit or deferred debit). In 2019, Carte Bancaire had 71.1 million cards carrying its logo and 13.76 billion transactions (POS and ATM) were processed through its network. Most CB cards are debit cards, either debit or deferred debit. Less than 10% of CB cards were credit cards. Banks in France usually charge annual fees for debit cards (despite card payments being very cost efficient for the banks), yet they do not charge personal customers for chequebooks or processing checks (despite cheques being very costly for the banks). This imbalance dates from the unilateral introduction in France of Chip and PIN debit cards in the early 1990s, when the cost of this technology was much higher than it is now. Credit cards of the type found in the United Kingdom and United States are unusual in France and the closest equivalent is the deferred debit card, which operates like a normal debit card, except that all purchase transactions are postponed until the end of the month, thereby giving the customer between 1 and 31 days of "interest-free" credit. Banks can charge more for a deferred debit card. Most France debit cards are branded with the CB logo, which assures acceptance throughout France. Most banks now issue Visa or MasterCard (credit card), MasterCard co-branded cards, so that the card is accepted on both the CB and the Visa or Mastercard networks. In France payment cards are commonly calledLiability and e-cards
According to French law, banks are liable for any transaction made with a copy of the original card and for any transaction made without a card (on the phone or on the Internet), so banks have to pay back any fraudulent transaction to the card holder if the previous criteria are met. Fighting card fraud is therefore more interesting for banks. As a consequence, French banks websites usually propose an "e-card" service ("electronic (bank) card"), where a new virtual Card, virtual card is created and linked to a physical card. Such virtual card can be used only once and for the maximum amount given by the card holder. If the virtual card number is intercepted or used to try to get a higher amount than expected, the transaction is blocked.Germany
Germany has a dedicated debit card payment system called girocard which is usually co-branded with V Pay or Maestro depending on the issuing bank. In recent years both Visa Debit and Mastercard Debit cards are increasingly more common as well. Historically, facilities already existed before EFTPOS became popular with the Eurocheque card, an authorization system initially developed for paper Cheque, checks where, in addition to signing the actual check, customers also needed to show the card alongside the check as a security measure. Those cards could also be used at ATMs and for card-based electronic funds transfer with PIN entry. These are now the only functions of such cards: the Eurocheque system (along with the brand) was abandoned in 2002 during the transition from the Deutsche Mark to theGuinée Bissau
See "#UEMOA, UEMOA".Greece
Debit card usage surged in Greece after the introduction of Capital controls in Greece, Capital Controls in 2015.Hong Kong
Most bank cards in Hong Kong for saving / current accounts are equipped with Electronic Payment Services, EPS andHungary
In Hungary debit cards are far more common and popular than credit cards. Many Hungarians even refer to their debit card ("betéti kártya") mistakenly using the word for credit card ("hitelkártya"). The most commonly used phrase, however, is simply bank card ("bankkártya").India
After the demonetization by current government in the December 2016, there has been a surge in cashless transactions, so nowadays you could find card acceptance in most places. The debit card was mostly used for Automated teller machine, ATM transactions. RBI has announced that fees are not justified so transactions have no processing fees. Almost half of Indian debit and credit card users use Rupay card. Some Indian banks issue Visa debit cards, though some banks (like State Bank of India, SBI and Citibank India) also issue Maestro cards. The debit card transactions are routed through Rupay (mostly), Visa or MasterCard networks in India and overseas rather than directly via the issuing bank. The National Payments Corporation of India (NPCI) has launched a new card called RuPay. It is similar to Singapore's Network for Electronic Transfers, NETS and PRC, Mainland China'sIndonesia
Foreign-owned brands issuing Indonesian debit cards include Visa, Maestro, MasterCard, and Malaysian Electronic Payment System, MEPS. Domestically-owned debit card networks operating in Indonesia include Bank Central Asia, Debit BCA (and its PRIMA (Indonesia), Prima network's counterpart, Prima Debit) and Bank Mandiri, Mandiri Debit.Iraq
Iraq's two biggest state-owned banks, Rafidain Bank and Rasheed Bank, together with the ''Iraqi Electronic Payment System (IEPS)'' have established a company called International Smart Card, which has developed a national credit card called 'Qi Card', which they have issued since 2008. According to the company's website: 'after less than two years of the initial launch of the Qi card solution, we have hit 1.6 million cardholder with the potential to issue 2 million cards by the end of 2010, issuing about 100,000 card monthly is a testament to the huge success of the Qi card solution. Parallel to this will be the expansion into retail stores through a network of points of sales of about 30,000 units by 2015'.Ireland
Current system (as of December 2022)
In Ireland, all debits cards are exclusively Chip and PIN. The market is dominated by Visa Debit cards - the "Top 3" banks in Ireland: Allied Irish Banks, Bank of Ireland and Permanent TSB all use Visa Debit, as well as the two exiting banks Ulster Bank and KBC Bank Ireland, KBC. Other financial institutions that maintain a minority stake such as EBS d.a.c., EBS, An Post, An Post Money and some credit unions use Mastercard Debit cards. Revolut, with over 2 million customers in Ireland, varies between Mastercard and Visa Debit cards. Irish debit cards are normally multi-functional and combine ATM card facilities. Some banks will provide ATM cards to vulnerable or elderly customers, but only on request. The practice is rare and it is on a case-by-case basis. For online purchases, the cards are used together with the bank's mobile app for Strong Customer Authentication as required by the EU's Payment Services Directive (PSD2). Most Irish debit cards are also enabled for contactless payment for purchases €50 or below, and display the contactless symbol. The limit was previously €30, but was increased to €50 as a result of the COVID-19 pandemic in the Republic of Ireland, Covid-19 pandemic to increase card usage in order to minimize the handling of cash.Some banks, such as AIB, do not provide contactless cards to certain account holders, such as those under 18. After 3-5 contactless transactions, the bank will ask the card user to enter their PIN through a Chip and PIN transaction for authentication. Apple Pay and Google Pay (payment method), Google Pay are also embraced as contactless payment methods with many retailers as they use the same contactless technology. However, due to the device's authentication of the user, there is no limit on the purchase amount. In some cases, there are limits of a large amount such as €500, however this may be imposed by the retailer due to technical constraints rather than for security purposes. The cards are usually processed online, but some cards can also be processed offline depending on the rules applied by the card issuer. A number of card issuers also provide prepaid debit card accounts primarily for use as gift cards / vouchers or for added security and anonymity online, e.g. CleverCards. These may be disposable or reloadable and are predominately MasterCard branded. One4All vouchers, a popular voucher given particularly to employees by companies at Christmas time, are another type of a prepaid debit card used. However, it is limited to retailers that specifically opt-in to using One4All cards as a payment method and are neither Visa nor Mastercard branded.Previous system (defunct since 28 February 2014)
Laser (debit card), Laser was launched by the Irish banks in 1996 as an extension of the existing ATM and Cheque guarantee card systems that had existed for many years. When the service was added, it became possible to make payments with a multifunctional card that combined ATM, cheque and debit card and international ATM facilities through MasterCard Cirrus or Visa Plus and sometimes the British Link ATM system. Their functionality was similar to the British Switch card. The system first launched as a swipe & sign card and could be used in Ireland in much the same way as a credit card and were compatible standard card terminals (online or offline, although they were usually processed online). They could also be used in cardholder-not-present transactions over the phone, by mail or on the internet or for processing recurring payments. Laser also offered 'cash back' facilities where customers could ask retailers (where offered) for an amount of cash along with their transaction. This service allowed retailers to reduce volumes of cash in tills and allowed consumers to avoid having to use ATMs. Laser adopted EMV 'Chip and PIN' security in 2002 in common with other credit and debit cards right across Europe. In 2005, some banks issued customers with Lasers cards that were co-branded with Maestro. This allowed them to be used in POS terminals overseas, internet transactions were usually restricted to sites that specifically accepted Laser. Since 2006, Irish banks have progressively replaced Laser with international schemes, primarily Visa Debit and by 28 February 2014 the Laser Card system had been withdrawn entirely and is no longer accepted by retailers.Israel
The Israel bank card system is somewhat confusing to newcomers, comprising a blend of features taken from different types of cards. What may be referred to as a credit card, is most likely to be a deferred debit card on an associated bank current account, the most common type of card in Israel, somewhat like the situation in France, though the term "debit card" is not in common usage. Cards are nearly universally called ''cartis ashrai'' (כרטיס אשראי), literally, "credit card", a term which may bely the card's characteristics. Its main feature may be a direct link to a connected bank account (through which they are mostly issued), with the total value of the transactions made on the card being debited from the bank account in full on a regular date once a month, without the option to carry the balance over; indeed certain types of transactions (such as online and/or foreign currency) may be debited directly from the connected bank account at the time of the transaction. Any such limited credit enjoyed is a result of the customer's assets and credibility with the bank, and not granted by the credit card company. The card usually enables immediate ATM cash withdrawals & balance inquiries (as debit cards do), instalment & deferred charge interest free transactions offered by merchants (also applicable in Brazil), interest bearing instalment plans/deferred charge/revolving credit which is transaction specific at the point of sale (though granted by the issuer, hence the interest), and a variety of automated/upon request types of credit schemes including loans, some of which revolve or resemble the extended payment options sometimes offered by charge cards. Thus the "true" debit card is not so common in Israel, though it has existed since 1994. It is offered by two credit companies in Israel: One is ICC, short for "Israeli Credit Cards" (referred to as "CAL", an acronym formed from its abbreviation in Hebrew), which issues it in the form of a Visa Electron card valid only in Israel. It is offered mainly through the Israel Post (post office) bank (which is not allowed, by regulation, to offer any type of credit) or through Israel Discount Bank, its main owner (where it is branded as "Discount Money Key" card). This branded Israel Discount Bank branded debit card also offered as valid worldwide card, either as Visa Electron or MasterCard Debit cards. The second & more common debit card is offered by the Isracard consortium to its affiliate banks and is branded "Direct". It is valid only in Israel, under its local private label brand, as "Isracard Direct" (which was known as "Electro Cheque" until 2002 and while the local brand Isracard is often viewed as a MasterCard for local use only). Since 2006, Isracard has also offered an international version, branded "MasterCard Direct", which is less common. These two debit card brands operate offline in Israel (meaning the transaction operates under the credit cards systems & debited officially from the cardholder account only few days later, after being processed—though reflected on the current account immediately). In 2014 the Isracard Direct card (a.k.a. the valid only in Israel version) was relaunched as Isracash, though the former subbrand still being marketed and replaced ICC Visa Electron as Israel Post bank debit card. Overall, banks routinely offer deferred debit cards to their new customers, with "true" debit cards usually offered only to those who cannot obtain credit. These latter cards are not attractive to the average customer since they attract both a monthly fee from the credit company and a bank account fee for each day's debits. Isracard Direct is by far more common than the ICC Visa Electron debit card. Banks who issue mainly Visa cards will rather offer electronic use, mandate authorized transaction only, unembossed version of Visa Electron deferred debit cards (branded as "Visa Basic" or "Visa Classic") to its customers—sometimes even in the form of revolving credit card. Credit/debit card transactions in Israel are not PIN based (other than at ATMs) and it is only in recent years that EMV chip smart cards have begun to be issued, with the Bank of Israel in 2013 ordering the banks and credit card companies to switch customers to credit cards with the EMV security standard within 3.5 years.Italy
Debit cards are quite popular in Italy. There are both classic and prepaid cards. There are two Italian interbank networks, Bancomat (debit card), Bancomat and PagoBancomat: Bancomat is the commercial brand for the cash withdrawal circuit, while PagoBancomat is used for POS transactions. Nowadays many debit cards use Visa or Mastercard circuit, while the debit cards which use Bancomat/PagoBancomat circuits are co-badged with Maestro or V-Pay. There is another national circuit, Postamat, that is used by the debit and prepaid cards offered by the national post service, Poste Italiane, mainly for the cash withdrawal in the post-office ATM.Japan
In Japan people usually use their , originally intended only for use with cash machines, as debit cards. The debit functionality of these cards is usually referred to as , and only cash cards from certain banks can be used. A cash card has the same size as a Visa/MasterCard. As identification, the user will have to enter their four-digit PIN when paying. J-Debit was started in Japan on 6 March 2000. However, J-Debit has not been that popular since then. Suruga Bank began service of Japan's first Visa Debit in 2006. Rakuten Bank, formally known as Ebank, offers a Visa debit card. Resona Bank and The Bank of Tokyo-Mitsubishi UFJ bank also offer a Visa branded debit card.Kuwait
In Kuwait, all banks provide a debit card to their account holders. This card is branded as KNET, which is the central switch in Kuwait. KNET card transactions are free for both customer and the merchant and therefore KNET debit cards are used for low valued transactions as well. KNET cards are mostly co-branded as Maestro or Visa Electron which makes it possible to use the same card outside Kuwait on any terminal supporting these payment schemes.Malaysia
In Malaysia, the local debit card network is operated by the Malaysian Electronic Clearing Corporation (MyClear), which had taken over the scheme from MEPS in 2008. The new name for the local debit card in Malaysia is MyDebit, which was previously known as either bankcard or e-debit. Debit cards in Malaysia are now issued on a combo basis where the card has both the local debit card payment application as well as having that of an International scheme (Visa or MasterCard). All newly issued MyDebit combo cards with Visa or MasterCard have the contactless payment feature. The same card also acts as the ATM card for cash withdrawals.Mali
See "#UEMOA, UEMOA".Mexico
In Mexico, many companies use a type of debit card called a payroll card (tarjeta de nómina), in which they deposit their employee's payrolls, instead of paying them in cash or through checks. This method is preferred in many places because it is a much safer and secure alternative compared to the more traditional forms of payment.Netherlands
In the Netherlands using EFTPOS is known as ''pinnen'' (pinning), a term derived from the use of aNew Zealand
EFTPOS (electronic fund transfer at point of sale) in New Zealand is highly popular. In 2006, 70 percent of all retail transactions were made by EFTPOS, with an average of 306 EFTPOS transactions being made per person. At the same time, there were 125,000 EFTPOS terminals in operation (one for every 30 people), and 5.1 million EFTPOS cards in circulation (1.27 per capita). The system involves the merchant swiping (or inserting) the customer's card and entering the purchase amount. Point of sale systems with integrated EFTPOS often send the purchase total to the terminal and the customer swipes their own card. The customer then selects the account they wish to use: Current/Cheque (CHQ), Savings (SAV), or Credit Card (CRD), before entering in their PIN. After a short processing time in which the terminal contacts the EFTPOS network and the bank, the transaction is approved (or declined) and a receipt is printed. The EFTPOS system is used for credit cards as well, with a customer selecting Credit Card and entering their PIN, or for older credit cards without loaded PIN, pressing OK and signing their receipt with identification through matching signatures. Fixed EFTPOS terminals today use internet protocol connections to contact the EFTPOS network, but some businesses use the public switched telephone network, either via dedicated phone lines or sharing the merchant's voice line (especially in smaller businesses). Virtually all retail outlets have EFTPOS facilities, so much that retailers without EFTPOS have to advertise so. In addition, an increasing number of mobile operator, such as taxis, stall holders and pizza deliverers have mobile EFTPOS systems. The system is made up of two primary networks: EFTPOS NZ, which is owned by VeriFone and Paymark Limited (formerly Electronic Transaction Services Limited), which is owned by ANZ Bank New Zealand, ASB Bank, Westpac and the Bank of New Zealand. The two networks are intertwined and highly sophisticated and secure, able to handle huge volumes of transactions during busy periods such as the lead-up to Christmas: on 24 December 2012, the Paymark network alone recorded an average of 132 transactions per second between 12:00 and 13:00. Network failures are rare, but when they occur they cause massive disruption, resulting in major delays and loss of income for businesses. Depending on the user's bank, a fee may be charged for use of EFTPOS. Most youth accounts (the minimum age to obtain an EFTPOS card from most banks in New Zealand is 13 years) and an increasing number of 'electronic transaction accounts' do not attract fees for electronic transactions, meaning the use of Eftpos by younger generations has become ubiquitous and subsequently cash use has become rare. Typically merchants don't pay fees for transactions, most only having to pay for the equipment rental. One of the disadvantages of New Zealand's well-established EFTPOS system is that it is incompatible with overseas systems and non-face-to-face purchases. In response to this, many banks since 2005 have introduced international debit cards such as Maestro and Visa Debit which work online and overseas as well as on the New Zealand EFTPOS system.Nigeria
Many Nigerians regard Debit cards as ATM cards because of its features to withdraw money directly from the ATM. According to the Central Bank of Nigeria, Debit Cards can be issued to customers having Savings /Current Accounts. There are three major types of Debit card in Nigeria: MasterCard, Verve, and Visa card. These Debit cards companies have other packages they offer in Nigeria like Naira MasterCard platinum, Visa Debit (Dual currency), GTCrea8 Card, SKS Teen Card, etc. All the packages depend on your Bank.Philippines
In the Philippines, all three national ATM network consortia offer proprietary PIN debit. This was first offered by Express Payment System in 1987, followed by Megalink with Paylink in 1993 then BancNet with the Point-of-Sale in 1994. Express Payment System or EPS was the pioneer provider, having launched the service in 1987 on behalf of the Bank of the Philippine Islands. The EPS service has subsequently been extended in late 2005 to include the other Expressnet members: Banco de Oro and Land Bank of the Philippines. They currently operate 10,000 terminals for their cardholders. Megalink launched Paylink EFTPOS system in 1993. Terminal services are provided by Equitable Card Network on behalf of the consortium. Service is available in 2,000 terminals, mostly in Metro Manila. BancNet introduced their point of sale system in 1994 as the first consortium-operated EFTPOS service in the country. The service is available in over 1,400 locations throughout the Philippines, including second and third-class municipalities. In 2005, BancNet signed a Memorandum of Agreement to serve as the local gateway for China UnionPay, the sole ATM switch in China. This will allow the estimated 1.0 billion Chinese ATM cardholders to use the BancNet ATMs and the EFTPOS in all participating merchants. Visa debit cards are issued by Union Bank of the Philippines (e-Wallet & eon), Chinatrust, Equicom Savings Bank (Key Card & Cash Card), Banco de Oro, HSBC, HSBC Savings Bank, Sterling Bank of Asia (Visa ShopNPay prepaid and debit cards) and EastWest Bank. Union Bank of the Philippines cards, EastWest Visa Debit Card, Equicom Savings Bank & Sterling Bank of Asia EMV cards which can also be used for internet purchases. Sterling Bank of Asia has released its first line of prepaid and debit Visa cards with EMV chip. MasterCard debit cards are issued by Banco de Oro, Security Bank (Cashlink & Cash Card) and Smart Communications (Smart Money) tied up with Banco de Oro. MasterCard Electronic cards are issued by BPI (Express Cash) and Security Bank (CashLink Plus). Originally, all Visa and MasterCard based debit cards in the Philippines are non-embossed and are marked either for "Electronic Use Only" (Visa/MasterCard) or "Valid only where MasterCard Electronic is Accepted" (MasterCard Electronic). However, EastWest Bank started to offer embossed Visa Debit Cards without the for "Electronic Use Only" mark. Paypass Debit MasterCard from other banks also have embossed labels without the for "Electronic Use Only" mark. Unlike credit cards issued by some banks, these Visa and MasterCard-branded debit cards do not feature EMV chips, hence they can only be read by the machines through swiping. By 21 March 2016, BDO Unibank, BDO has started issuing sets of Debit MasterCards having the EMV chip and is the first Philippine bank to have it. This is a response to the Bangko Sentral ng Pilipinas, BSP's monitor of the EMV shift progress in the country. By 2017, all Debit Cards in the country should have an EMV chip on it.Poland
In Poland, the first system of electronic payments was operated by Orbis Technology, Orbis, which later was changed to PolCard in 1991 (which also issued its own cards) and then that system was bought by First Data Poland Holding SA. In the mid-1990s international brands such as Visa, MasterCard, and the unembossed Visa Electron or Maestro were introduced. Visa Electron and Maestro work as a standard debit cards: the transactions are debited instantly, although it may happen on some occasions that a transaction is processed with some delay (hours, up to one day). These cards do not possess the options that credit cards have. In the late 2000s, contactless cards started to be introduced. The first technology to be used was MasterCard PayPass, later joined by Visa's payWave. This payment method is now universal and accepted almost everywhere. In an everyday use this payment method is always called Paypass. Almost all businesses in Poland accept debit and credit cards. In the mid-2010s, Polish banks started to replace unembossed cards with embossed electronic cards such as Debit MasterCard and Visa Debit, allowing the customers to own a card that has all qualities of a credit card (given that credit cards are not popular in Poland). There are also some banks that do not possess an identification system to allow customers to order debit cards online.Portugal
In Portugal, debit cards are accepted almost everywhere: ATMs, stores, and so on. The most commonly accepted are Visa and MasterCard, or the unembossed Visa Electron or Maestro. Regarding Internet payments debit cards cannot be used for transfers, due to its unsafeness, so banks recommend the use of 'MBnet', a pre-registered safe system that creates a virtual card with a pre-selected credit limit. All the card system is regulated by SIBS, the institution created by Portuguese banks to manage all the regulations and communication processes properly. SIBS' shareholders are all the 27 banks operating in Portugal.Russia
In addition to Visa, MasterCard and American Express, there are some local payment systems based in general onSaudi Arabia
In Saudi Arabia, all debit card transactions are routed through Saudi Payments Network (mada), the only electronic payment system in the Kingdom and all banks are required by the Saudi Arabian Monetary Agency (SAMA) to issue cards fully compatible with the network. It connects all point of sale (POS) terminals throughout the country to a central payment switch which in turn re-routes the financial transactions to the card issuer, local bank, Visa, Amex or MasterCard. As well as its use for debit cards, the network is also used for ATM and credit card transactions.Senegal
Serbia
All Serbian banks issue debit cards. Since August 2018, all owners of transactional accounts in Serbian dinars are automatically issued a debit card of the national brand ''DinaCard''. Other brands (VISA, MasterCard and Maestro) are more popular, better accepted and more secure, but must be requested specifically as additional cards. Debit cards are used for cash withdrawal at ATMs as well as store transactions.Singapore
Singapore's debit service is managed by the Network for Electronic Transfers (NETS), founded by Singapore's leading banks and shareholders namely DBS, Keppel Bank, OCBC and its associates, OUB, IBS, POSB, Tat Lee Bank and UOB in 1985 as a result of a need for a centralised e-Payment operator. However, due to the banking restructuring and mergers, the local banks remaining were UOB, OCBC, DBS-POSB as the shareholders of NETS with Standard Chartered Bank to offer NETS to their customers. However, DBS and POSB customers can use their network ATMs on their own and not be shared with UOB, OCBC or SCB (StanChart). The mega failure of 5 July 2010 of POSB-DBS ATM Networks (about 97,000 machines) made the government to rethink the shared ATM system again as it affected the NETS system too. In 2010, in line with the mandatory EMV system, Local Singapore Banks started to reissue their Debit Visa/MasterCard branded debit cards with EMV Chip compliant ones to replace the magnetic stripe system. Banks involved included NETS Members of POSB-DBS, UOB-OCBC-SCB along with the SharedATM alliance (NON-NETS) of HSBC, Citibank, State Bank of India, and Maybank. Standard Chartered Bank (SCB) is also a SharedATM alliance member. Non branded cards of POSB and Maybank local ATM Cards are kept without a chip but have a Plus or Maestro sign which can be used to withdraw cash locally or overseas. Maybank Debit MasterCards can be used in Malaysia just like a normal ATM or Debit MEPS card. Singapore also uses the e-purse systems of NETS CASHCARD and the CEPAS wave system by EZ-Link and NETS.South Korea
There are two kinds of debit cards are in South Korea; 'Debit card' Issued by bank, and 'Check card' Issued by card company. Debit cards are only accepted in debit networks such as Shinsegae and e-mart. Check cards are accepted in every stores accept credit cards. Korean debit cards do not accept offline Debit(credit) transactions domestically, so every transactions must made by real time.Spain
Debit cards are accepted in a relatively large number of stores, both large and small, in Spain. Banks often offer debit cards for small fees in connection with a checking account. These cards are used more often than credit cards at ATMs because it is a cheaper alternative. For tourists, a 2018 guide recommended using debit cards at ATMs.Taiwan
Most banks issue major-brand debit cards that can be used internationally such as Visa Debit, Visa, MasterCard and JCB, often with contactless functionality. Payments at brick-and-mortar stores generally require a signature except for contactless payments. A separate, local debit system, known as Smart Pay, can be used by the majority of debit and ATM cards, even major-brand cards. This system is available only in Taiwan and a few locations in Japan as of 2016. Non-contactless payments require a PIN instead of a signature. Cards from a few banks support contactless payment with Smart Pay.Togo
Turkey
UAE
Debit cards are widely accepted from different debit card issuers including the Network International local subsidiary of Emirates Bank.United Kingdom
In the United Kingdom, UK debit cards (an integrated EFTPOS system) are an established part of the retail market and are widely accepted by both physical and internet stores. The term EFTPOS is not widely used by the public; "debit card" is the generic term used. Debit cards issued are predominantly Visa Debit, with Debit Mastercard becoming increasingly common. Maestro, Visa Electron andUEMOA
It is the West Africa Economic and Monetary Union federating eight countries: Benin, Burkina Faso, Ivory Coast, Guinea-Bissau, Mali, Niger, Senegal and Togo. GIM-UEMOA is the regional switch federating more than 120 members (banks, microfinances, electronic money issuers, etc.). All interbank cards transactions between banks in the same country or between banks in two different countries UEMOA zone are routed and cleared by GIM-UEMOA. The settlement is done on Central Bank RTGS. GIM-UEMOA also provides some processing products and services to more than 50 banks in UEMOA zone and out of UEMOA zone.United States
In the U.S., EFTPOS is universally referred to simply as ''debit''. The largest pre-paid debit card company is Green Dot Corporation, by market capitalization. The same interbank networks that operate the Automated teller machine, ATM network also operate the POS network. Most interbank networks, such as Pulse, NYCE, Money Access Center, MAC, Tyme, SHAZAM (interbank network), SHAZAM,FSA, HRA, and HSA debit cards
In the United States, an FSA debit card only allow medical expenses. It is used by some banks for withdrawals from their healthcare FSAs (Flexible Savings Account) medical savings accounts (MSA), and health savings accounts (HSA) as well. They have Visa (company), Visa or MasterCard logos, but cannot be used as "debit cards", only as "credit cards". Furthermore, they are not accepted by all merchants that accept debit and credit cards, but only by those that specifically accept FSA debit cards. Merchant codes and product codes are used at the point of sale (required by law by certain merchants by certain states in the U.S.) to restrict sales if they do not qualify. Because of the extra checking and documenting that goes on, later, the statement can be used to Balance sheet substantiation, substantiate these purchases for tax deductions. In the occasional instance that a qualifying purchase is rejected, another form of payment must be used (a check or payment from another account and a claim for reimbursement later). In the more likely case that non-qualifying items are accepted, the consumer is technically still responsible, and the discrepancy could be revealed during an audit. A small but growing segment of the debit card business in the U.S. involves access to tax-favored spending accounts such as FSAs, HRAs, and HSAs. Most of these debit cards are for medical expenses, though a few are also issued for dependent care and transportation expenses. Traditionally, FSAs (the oldest of these accounts) were accessed only through claims for reimbursement after incurring, and often paying, an out-of-pocket expense; this often happens after the funds have already been deducted from the employee's paycheck. (FSAs are usually funded by payroll deduction.) The only method permitted by the Internal Revenue Service (IRS) to avoid this "double-dipping" for medical FSAs and HRAs is through accurate and auditable reporting on the tax return. Statements on the debit card that say "for medical uses only" are invalid for several reasons: (1) The merchant and issuing banks have no way of quickly determining whether the entire purchase qualifies for the customer's type of tax benefit; (2) the customer also has no quick way of knowing; often has mixed purchases by necessity or convenience; and can easily make mistakes; (3) extra contractual clauses between the customer and issuing bank would cross-over into the payment processing standards, creating additional confusion (for example if a customer was penalized for accidentally purchasing a non-qualifying item, it would undercut the potential savings advantages of the account). Therefore, using the card exclusively for qualifying purchases may be convenient for the customer, but it has nothing to do with how the card can actually be used. If the bank rejects a transaction, for instance, because it is not at a recognized drug store, then it would be causing harm and confusion to the cardholder. In the United States, not all medical service or supply stores are capable of providing the correct information so an FSA debit card issuer can honor every transaction-if rejected or documentation is not deemed enough to satisfy regulations, cardholders may have to send in forms manually. One difference between FSAs and HSAs is the matter of yearend and rollovers: FSAs began as per calendar year, although by 2013 rollovers were introduced.Uruguay
Debit cards are accepted in a relatively large number of stores, both large and small in Uruguay; but their use has so far remained low as compared to credit cards at ATMs. Since August 2014, with the Taxation in Uruguay, Financial Inclusion Law coming into force, end consumers obtain a 4% VAT deduction for using debit cards in their purchases.Venezuela
There has been a lack of cash due to the Crisis in Venezuela, Venezuelan economic crisis and thus the demand for and use of debit cards has increased greatly in recent years. One reason why a noticeable percentage of businesses have closed is a lack of payment terminals. The most used brands are Maestro (debit card) and Visa Electron.See also
* ATM card * Cantaloupe, Inc. * Charge card * Credit card * Debit card cashback * Electronic funds transfer * Electronic Payment Services * EPAS * Interac * Inventory information approval system, a point-of-sale technology used with FSA debit cards * Payment card * Payments Council * Payoneer * Point-of-sale (POS)References
{{DEFAULTSORT:Debit Card Debit cards , * American inventions Banking terms Embedded systems 20th-century inventions