February 12th, 2013
What is the difference between using a debit card in an ATM and using a credit card in an ATM?
What is the difference between using a debit card in an ATM and using a credit card in an ATM?
Using an debit card draws money from your savings your checking account. Sometimes there are fees if you’re using an ATM or POS not affiliated with your bank. Many credit unions have a network called priviledged status which doesn’t charge fees, but each ATM can be different. When withdrawing cash at a point of sale cash register ask if there are fees
Using a credit card at an ATM is a cash advance. The money you withdraw is a loan that starts charging interest immediately, also the loan is at a higher rate than normally using your credit card. Other ATM usage fees or currency conversion fees may also apply.
Right again, Aaron. Debit card + ATM = cash withdrawn from your bank account. Credit card + ATM = cash advance from the bank that will cost you dearly. DON’T DO IT!