What does a debit card mean?

Debit card refers to the bank card issued by the issuing bank to the cardholder without credit limit, and the cardholder deposits first and then uses it.

Debit cards are divided into transfer cards, special cards and stored value cards according to their functions. Debit cards cannot be overdrawn. The transfer card has the functions of transferring money, accessing cash and spending. A special card is a debit card that is used in a specific area and has a special purpose (except for department stores, restaurants and entertainment industries). It has the functions of transferring money and depositing and withdrawing cash. Stored value card is a prepaid wallet debit card in which the bank transfers funds to the card for storage according to the cardholder's requirements, and directly deducts money from the card during the transaction.

Bank cards (UnionPay cards) are divided into credit cards and debit cards, and credit cards are divided into credit cards and quasi-credit cards.

Debit card is an ordinary savings card, which belongs to current account and can be used for consumption, ATM deposit and withdrawal, etc. Credit cards can be used for spending, ATM deposits and withdrawals, etc. The biggest advantage is that you can overdraw (with a certain credit limit). Credit card refers to the credit card that the issuing bank gives the cardholder a certain credit limit, and the cardholder can spend first and then repay. Quasi-credit card refers to a credit card in which the cardholder deposits a certain amount of reserve fund according to the requirements of the bank, and when the reserve fund is insufficient to pay, it can be overdrawn within the credit limit stipulated by the issuing bank. Debit cards are divided into transfer cards, special cards and stored value cards according to their functions. Debit cards cannot be overdrawn. The transfer card has the functions of transferring money, accessing cash and spending. Special card is a debit card used in a specific area with a specific purpose (referring to the use outside the department store, catering and entertainment industries), with the functions of transferring money and depositing and withdrawing cash. Stored value card is a prepaid wallet debit card in which the bank transfers funds to the card for storage according to the cardholder's requirements, and directly deducts money from the card during the transaction.

Debit cards are becoming more and more popular, which can easily replace cash and checks for consumption and transactions. In recent years, it has gradually become the most popular payment card. There are hundreds of millions of debit cards in use all over the world.

If the debit card is only applicable to local merchants, it usually carries the logo of the card issuer and its applicable processing system.