What is it??

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jttheclockman

jttheclockman

Member
Joined
Feb 22, 2005
Messages
20,316
Location
NJ, USA.
I know this will sound stupid but I am old school and have never used one. What is a debit card and how is it used??

The reason I ask is because Unenployment Insurance agency is going to a debit card system or a direct deposit system and doing away with sending checks. I have a hard time reliquishing my account number to a government agency that is in my opinion a little inept.

I have always either paid any bills by check, credit card or cash.

Receiving my unenployment checks was a simple thing and now this.

Thanks
 
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A debit card is a card with the visa or master card logo that can be used at any location that accepts them, but the funds are removed from a bank account. They offer the protections of a credit card in most cases, but you you aren't using credit.
 
I've been getting my NJUI by Direct Deposit and have had no problems with it . The Debit card would be ok too but only if they update balances on a regular basis so you can keep track of what's in the account and NJ is not the best in keeping things up to date . Nothing worse then going to use the card and not having enough in the account to cover the purchase .
 
ldb2000 said:
I've been getting my NJUI by Direct Deposit and have had no problems with it . The Debit card would be ok too but only if they update balances on a regular basis so you can keep track of what's in the account and NJ is not the best in keeping things up to date . Nothing worse then going to use the card and not having enough in the account to cover the purchase .
Click to expand...


OK so you are in the same position and from the same state. Sorry to hear that :smile:

They send a card. Where is the money that is attached to that card??? Is it held in an account with them in my name??? How do I know how much is in the account??? Can I overdraw on this card??? Is there interest involved somehow on the account??
 
jttheclockman said:
ldb2000 said:
I've been getting my NJUI by Direct Deposit and have had no problems with it . The Debit card would be ok too but only if they update balances on a regular basis so you can keep track of what's in the account and NJ is not the best in keeping things up to date . Nothing worse then going to use the card and not having enough in the account to cover the purchase .
Click to expand...


OK so you are in the same position and from the same state. Sorry to hear that :smile:

They send a card. Where is the money that is attached to that card??? Is it held in an account with them in my name??? How do I know how much is in the account??? Can I overdraw on this card??? Is there interest involved somehow on the account??
Click to expand...

That is some of the questions I have about it , it is like one of those reloadable visa cards you can buy in walmart but is reloaded by NJUI . There is an account somewhere that you can check your balance but the info I have received so far don't say anything about where to go to check balance info or how up to date that info will be , real time , once a day , weekly ? The papers they sent so far are very vague about that info . I'm sure that they will tell you when you get your card where to go to check your balance but like I said , they are not real good about keeping information up to date around here in this state . I haven't had any problems with the Direct Deposit so far so I'm gonna stick with that until they roll out the new system and work out the bugs , I need that money and don't trust them to get this new system up and running without problems . You know how messed up the government is around here .
 
ldb2000 said:
jttheclockman said:
ldb2000 said:
I've been getting my NJUI by Direct Deposit and have had no problems with it . The Debit card would be ok too but only if they update balances on a regular basis so you can keep track of what's in the account and NJ is not the best in keeping things up to date . Nothing worse then going to use the card and not having enough in the account to cover the purchase .
Click to expand...


OK so you are in the same position and from the same state. Sorry to hear that :smile:

They send a card. Where is the money that is attached to that card??? Is it held in an account with them in my name??? How do I know how much is in the account??? Can I overdraw on this card??? Is there interest involved somehow on the account??
Click to expand...

That is some of the questions I have about it , it is like one of those reloadable visa cards you can buy in walmart but is reloaded by NJUI . There is an account somewhere that you can check your balance but the info I have received so far don't say anything about where to go to check balance info or how up to date that info will be , real time , once a day , weekly ? The papers they sent so far are very vague about that info . I'm sure that they will tell you when you get your card where to go to check your balance but like I said , they are not real good about keeping information up to date around here in this state . I haven't had any problems with the Direct Deposit so far so I'm gonna stick with that until they roll out the new system and work out the bugs , I need that money and don't trust them to get this new system up and running without problems . You know how messed up the government is around here .
Click to expand...


Yes I do know how screwed up the gov. is in this state. I just got the letter so I will have to make a decission. I probably will do as you did because I too need the money right away. Thanks for the info.
 
The New Jersey
Debit MasterCard® Card

The New Jersey Debit Card is the new way to receive your payments. This is a prepaid debit card designed specifically for New Jersey. You can get cash at banks and ATMs and make purchases at most stores in the USA and around the world. It is accepted everywhere MasterCard debit cards are accepted.


Benefits of the New Jersey Debit Card include:
  • No waiting for the check to be mailed
  • No worries about getting your check cashed
  • Spend your money by presenting your debit card
  • Use your money throughout the month; safe, fast and convenient
  • Customer Service 800 number to answer questions and obtain your balance
To Make Purchases
  • Simply present your card when paying.
  • The money is automatically deducted from your account.
  • You may also ask for 'cash-back' with your purchase at many merchant locations.
  • A $0.20 (20 cents) fee will be charged for those transactions only when you use your PIN.
To Get Cash at an ATM or Bank
  • You are allowed one (1) free cash withdrawal for each deposit to your account per calendar month.
  • At any ATM press either the checking or savings button on the ATM.
  • Select Cash Withdrawal
  • Enter the amount of cash needed and press Enter.
  • Don't forget your receipt.
Other ATM Fees
  • Each month, you are allowed two (2) balance inquiries at ATMs
  • After that your account is charged $0.40 each time.
Surcharge Fees
  • Some ATMs will also apply an individual convenience fee called a surcharge to use their ATM.
  • Avoid this fee by using any PNC Bank or Wachovia Bank ATMs.
  • Always read the ATM messages carefully.
  • You may cancel if you wish to avoid the fee, or press Enter and pay the fee.
  • Look for these brand marks:
Customer Service Fees
  • You are allowed four (4) free calls to the Customer Service automated
  • voice response unit each month to check your balance or hear your transaction history.
  • After four calls, your account is charged $0.25.
  • To avoid these charges, sign-on to www.EPPICard.com to view your account.
  • There is no charge for reporting a lost or stolen card or to question a transaction posted to your account.
Are there fees for using the card?
  • There are no monthly fees for managing your funds.
  • You can receive one (1) free cash withdrawal per deposit to your account per calendar month from any bank teller window in any bank displaying the MasterCard® brand mark OR at any Wachovia Bank ATM. (Unused free withdrawals expire on the last day of the month following the deposit. For example: An unused free withdrawal for any deposit made in March will expire on April 30.) After that, the following fees will apply for other transactions exceeding the number of monthly deposits:
[SIZE=-2]Wachovia Banks:[/SIZE]
[SIZE=-2]ATM[/SIZE][SIZE=-2]$1.25 each time (no surcharge fee)[/SIZE][SIZE=-2]Bank Teller[/SIZE][SIZE=-2]$2.00 each time[/SIZE]

[SIZE=-2]PNC Banks:[/SIZE]

[SIZE=-2]ATM[/SIZE][SIZE=-2]$1.25 each time (no surcharge fee) [/SIZE][SIZE=-2]Bank Teller[/SIZE][SIZE=-2]$2.00 each time[/SIZE]

[SIZE=-2]Other Banks displaying the MasterCard® brand mark:[/SIZE][SIZE=-2]ATM[/SIZE][SIZE=-2]$1.25 each time (plus any surcharge fee)[/SIZE][SIZE=-2]Bank Teller[/SIZE][SIZE=-2]$2.00 each time[/SIZE]

[SIZE=-2]Other Fees:[/SIZE][SIZE=-2]ATM Balance Inquiry[/SIZE][SIZE=-2]$0.40 after second request[/SIZE][SIZE=-2]ATM Denial for Insufficient Funds[/SIZE][SIZE=-2]$0.40 each time[/SIZE][SIZE=-2]Monthly Account Access via IVR (balance inquiry) [/SIZE][SIZE=-2]$0.25 after 4th call[/SIZE][SIZE=-2]Card Replacement[/SIZE][SIZE=-2]$5.00[/SIZE][SIZE=-2]Expedited Card Delivery[/SIZE][SIZE=-2]$12.00[/SIZE][SIZE=-2]International Transactions[/SIZE][SIZE=-2]$3.00[/SIZE]​


Do I have a choice on how I get my payments?


Yes, there are two options. You may use Direct Deposit, or you may select the New Jersey Debit Card If you already have a bank account, your payments can be deposited into your account using Direct Deposit. Just fill out the Direct Deposit form and return it to the FSPC. If you already use Direct Deposit, you will continue to receive your payments this way.
If you do nothing, you will receive a New Jersey Debit Card and payments will be posted to this account.

How do I get a New Jersey Debit Card?



Validate the address on your notification letter. If your address has changed or if this letter was forwarded by the post office you must contact your local probation office or complete the enclosed change of address form.
  • Your card will be sent to you by mail. Activate your card immediately.
  • You can use your card only after payments are made to your account.
Spend your money at your convenience



You can use your New Jersey Debit Card at merchant locations worldwide; anywhere you see the MasterCard® brand mark. Your card is safer and more convenient than using cash or checks.


Use your card at:
  • Banks and ATMs for cash
  • Office and school supply stores
  • Grocery stores
  • Doctors' offices
  • Clothing, department, and discount stores
  • Restaurants
  • Drug stores and pharmacies
Your card can be used wherever you see these brand marks:
The New Jersey Debit Card is issued by Comerica Bank.
ACS is an authorized representative of Comerica Bank​
 
Take Direct Deposit

If I were you, I would take direct deposit into your checking account. If you want to use a debit card your bank will probably issue you one where you'll have a lot less fees. Actually I use one all the time, hardly ever write checks anymore and have direct deposit with three pension checks. I can go online and check my account balance anytime 24/7.
 
Lou

Thanks for posting that. I looked all over for some info on this because as of now all the state sent was a little notice telling us they are doing this but did not explain it. This does not sound like what I want to do. I avoid these type cards from my own bank because of the extra fees. Like I said I am a pay cash guy. I know this type payment may become extinct but for me it is the way I do it for now. I use credit cards on large purchases. I am copying this and giving a copy to my brother because he is in the same situation.

I guess I will trust them with direct deposit and have to keep my eye on these thiefs. NJ the land of oportunity:smile:
 
A debit card works much like a credit card. You use it to make purchases or to withdraw cash from an ATM. The difference is that the money behind a debit card is YOUR money, and the card is merely a way to get access to it.

By contrast, the money behind a credit card is NOT yours, and when you use the card, you are in reality taking out a loan. You can repay that loan at the end of the month without penalty, but if you don't pay in full, there is an interest charge.

With debit cards, the issue often is knowing how much money is left in the account at the point when you go do use it. If there aren't enough funds in the account to cover the purchase or withdrawal, one of two things can happen:
1. The most common scenario is that the debit card has an 'overdraft' provision that allows you to continue to withdraw funds. That overdraft is actually a loan, and the interest rates are typically very high.
2. Most banks now allow you to opt out of the overdraft feature, but when you do that, the card ceases to work when the funds are depleted.

Debit cards are a popular way to administer programs such as unemployment insurance. The agency makes a deposit into the debit account on a regular basis, and the client the uses the card to access those funds.
 
FWIW, I would NEVER use a debit card. I only use credit cards that do not charge any annual fees and I pay them off at the end of every month to avoid interest charges. I do have direct deposit to my checking account. I access the funds by writing a check or with and ATM card, which is not a debit card.

Identity theft and credit card theft is rampant. I've been a victim twice. IMHO, here is the major difference between a credit card and a debit card. If someone illegally uses your CREDIT CARD number to make purchases you are still in control of your money. You simply don't pay the charges. If someone illegally uses your DEBIT CARD number the money is gone from your account and you have to fight with the bank to have them restore it. Banks push debit cards on consumers for a reason. The use of debit cards is in the bank's best interest, not the consumers. Additionally, the banks make a lot of money on overdraft fees from people who don't keep track of how much money is in their account.
 
FWIW,
The folks I know who have lost money online or been the victim of ID Theft have been hit on their Debit cards.
While many have gotten their money back, I know of no one who has lost money on a Credit Card.
Maybe I'm old-school or just stubborn, but I'm not going to have any debit cards.

My $.02
 
I guess that's another difference between Canada and the US. Debit cards have been in use for a LONG time up here, and I think they're the primary way of paying up here.

I don't know how the US cards work, but up here they're protected by an encrypted microchip, and a code, and I use mine for every single purchase, I think. (Unless it's under 5 dollars).

You can't use a debit card online, as far as I know. It's not a system of credit, but rather a means of accessing your own money. Maybe the US ones are different, however.

But to each his/her own; they'll catch on down there eventually, I daresay.
 
I've been using a debit card for years and really like it. More convenient than writing checks at stores and such. I also don't have to carry a lot of cash around. I have not "balanced" a checking account in years. I get on the internet and check my balance balance almost daily so I know what is there. I actually keep better track of thing this way than I did when I went through the balancing routine. I have never had a problem.

I also have my SS check direct deposit and I make a few payments by having them withdrawn automatically. All very convenient. Trust me, our government already has access if they want it bad enough.
 
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