Banks, Credit Cards and Kindle Downloads

[webhill]

See my first post.  I quoted the part that started this discussion, and I gave the link. 

I think we posted at the same time or something
Anyway thanks for the link, I checked it out. Seems like they are saying banks will consider doing that, not that they are definitely doing it, so I'm not going to worry about it unless or until it becomes reality (at which case all online purchases will be made with some kind of preloaded Visa debit card type of thing and the rest of my life will be cash only, since I refuse to pay interest on anything I don't *have* to, and convenience doesn't count).

-wh.

[webhill]

I, as well use my debit card for everything... I will never use a credit card, as most companies will overcharge you with hidden fees... This has happened to my parents lots of times... And it's insane... So I play it safe

On the other hand, I refuse to allow my bank to issue me a debit card, because of the inherent security risk. There is no cap on what can be taken out many times. There is no way to dispute charges. The card is linked to my bank account leading to more massive immediate losses in the event of loss of data by the merchant (which happens a lot these days) and again, I can't dispute charges.  So I play it safe and don't use a debit card!

[Pawz4me]

There is no way to dispute charges.

We've only had to dispute an incorrect charge to our debit card one time, but it was a very simple matter to get it removed.  One call to our bank, and it was removed in less than 24 hours.

[mlewis78]

I stopped using my debit card for online purchases a couple of years ago after reading that it was risky -- after all, it is my checking account.  I do use it for in-store purchases, groceries etc. unless I'm carrying a lot of cash.

[webhill]

We've only had to dispute an incorrect charge to our debit card one time, but it was a very simple matter to get it removed.  One call to our bank, and it was removed in less than 24 hours.

I am so glad that you were lucky! I prefer credit cards, where I am limited *by law* to a responsibility maximum of $50 in the event of fraudulent use. See:
http://www.pirg.org/consumer/banks/debit/debitcards1.htm for more information if this topic is of interest! I don't even have a bank-issued debit card anymore because of these issues. I've had problems in the past.

-h.

[marianneg]

Here is an article from The Motley Fool about why this shouldn't happen:
http://www.fool.com/personal-finance/credit/2009/05/20/dream-on-credit-card-companies.aspx

[MAGreen]

This would be really stupid, for them to charge interest right away, anyone who has the money will just start using bank cards and anyone who doesn't have the money upfront, isn't going to be able to pay the interest and is just going to get themselves in futher debt. I thought the ew laws were supposed to sto this kind of stuff?

[Ann in Arlington]

Well, both houses passed the credit bill, and the President is expected to sign it, probably tomorrow.  Slated to go into effect next February.