Glossary: Debit card

Issued by a bank as part of a current account and, in a nutshell, serves as electronic cash. Unlike a credit or charge card, where you get an interest-free period before you have to settle the bill, the funds spent on a debit card are withdrawn immediately from your current account. Unless you’ve arranged an overdraft, if you don’t have the cash in the account, you can’t spend it.

Glossary index   Glossary "D"
Last updated: Aug 2nd, 2011
Relevant to: Current Accounts

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