The ATM, Instant Cash, and You
Your card allows you to, among other tasks, withdraw or deposit money, transfer money between your different accounts, make a loan payment, or perhaps to take a cash advance on your line of credit (depending on the account). Many ATM cards are now actually combined ATM/debit cards, allowing you to use them just like a check at participating stores. In this case, the money comes directly out of your account.
While the list of possible jobs for the ATM card continues to grow, so do the potential pitfalls of carrying and using one of these modern conveniences. These trouble spots could include -
Fees - Many banks and credit unions now charge non-customers a fee (often $1 to $1.50) for each use of their ATMs. (Some merchants even charge fees for using your ATM/debit card.) While many consumer advocates are working to minimize or ban these fees, you meanwhile need to be vigilant about dodging them on your own.
Reduced flexibility - Unlike a credit card, an ATM/debit card doesn't offer the right to withhold payment for goods and services if you run into a dispute with the seller.
Bigger costs for losses - If your credit card is lost or stolen, the issuer can hold you liable only up to $50 for anything charged after the loss. However, if you wait more than two days to report a lost or stolen ATM/debit card, you could lose a lot more if someone goes on a spending spree with your card. (Your loss is limited to $50 if you report a debit card theft within two days.)
Make Your Card Work for You (Not Vice Versa)
