"Credit Check" when renting a car???!?!
Oct 29th, 2006 | 08:31 AM
#42
Joined: Jul 2006
Posts: 10,190
Likes: 0
Neo - I understand your confusion.. maybe this will help.
With a debit card, when you make a purchase for $50, that amount is immediately taken out of your account.
If you check your balance as you leave the store, it will already have deducted the money.
If you use it as a credit card, the bank will say "your available funds is $469.98 and your current balance is $519.98" - you know that a purchase for $50 is still pending.
I purchased some items online on the 23rd of this month. Until yesterday, my available funds was $53 less than my current balance - so I knew that the purchase hadn't been processed yet, but I knew I didn't have an extra $53 in the account. I didn't have to write anything down or remember all my purchases (just the one that hasn't processed yet - which is usually the last purchase).
With a credit card, you never know when the transactions will be accounted for. I've made purchases at the beginning of the month, that the cc company doesn't account for until the day before the statement. This means that you have to remember EVERY transaction you made for the month to be able to keep a running total of your balance.
If you add a second person to the mix, you now have to know how much they are spending to know your balance. With the debit card, all you have to do is call the bank. You get your available funds and current balance and know what's left. With a credit card, the only way to know is to ask each other "what did you buy today".
I will add one addendum - if you like to write checks, this benefit of the debit card is seriously compromised. I pay all my bills online. Within one day, those funds are deducted from my available balance (even though it takes up to 10 days to process). I haven't written a check in the last 2 years.
With a debit card, when you make a purchase for $50, that amount is immediately taken out of your account.
If you check your balance as you leave the store, it will already have deducted the money.
If you use it as a credit card, the bank will say "your available funds is $469.98 and your current balance is $519.98" - you know that a purchase for $50 is still pending.
I purchased some items online on the 23rd of this month. Until yesterday, my available funds was $53 less than my current balance - so I knew that the purchase hadn't been processed yet, but I knew I didn't have an extra $53 in the account. I didn't have to write anything down or remember all my purchases (just the one that hasn't processed yet - which is usually the last purchase).
With a credit card, you never know when the transactions will be accounted for. I've made purchases at the beginning of the month, that the cc company doesn't account for until the day before the statement. This means that you have to remember EVERY transaction you made for the month to be able to keep a running total of your balance.
If you add a second person to the mix, you now have to know how much they are spending to know your balance. With the debit card, all you have to do is call the bank. You get your available funds and current balance and know what's left. With a credit card, the only way to know is to ask each other "what did you buy today".
I will add one addendum - if you like to write checks, this benefit of the debit card is seriously compromised. I pay all my bills online. Within one day, those funds are deducted from my available balance (even though it takes up to 10 days to process). I haven't written a check in the last 2 years.
Oct 29th, 2006 | 09:01 AM
#43
Joined: Jan 2003
Posts: 23,192
Likes: 0
NeoPatrick - I no longer keep a paper checkbook, do not write down anything - it is all on-line. I print it out so I can have a paper copy, but I am even considering stopping that as well. So when I log on, there is the exact amount I have in my account. It is easy to log on and stop in at the Fodorites Lounge at the same time.
And and even darker secret that makes my mother insane is that I don't balance my checkbook anymore either! I check entries to make sure they are mine, correct amount, vendor - but I no longer do the "did it clear" thing with all the math. And nothing terrible has happened to me or my money.
And and even darker secret that makes my mother insane is that I don't balance my checkbook anymore either! I check entries to make sure they are mine, correct amount, vendor - but I no longer do the "did it clear" thing with all the math. And nothing terrible has happened to me or my money.
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Idnas71
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Jan 7th, 2004 05:06 AM
