ATM Card

How ATM Card or Debit Cards Getting Heavy on Our Pockets

90 / 100

ATM cards or debit cards are just simply great. If you have one with you then there no much need of carrying the cash with you which is one of the biggest benefits of the ATM card. These plastic cards with a magnetic strip are issued by the banks to all the people who hold a bank account with them.

Recently the banks had come up with the micro-chip based ATM Cards. What the banks did was they issued new micro-chip based debit cards and blocked the ones which worked only on magnetic strip data. This does not mean that the cards with the magnetic strip are no longer working. But the ones which have magnetic strip only and not the micro-chip are not functional these days.

If you are still using the old magnetic strip ATM Card then you should consider upgrading your card. When we talk about the advantages of the ATM Card or the Debit Card we get plenty of them. People like us have adopted the ATM Cards into our day to day life. These days we can find a wallet without cash in it.

But it really gets hard to find a wallet which ones not have an ATM card in it. Some of us even carry multiple ATM Cards because these days it is common to have multiple bank accounts. If people don’t find their bank keeping up to their expectation they just change their primary bank account. But in this process, we are burning our money.

But how?

I will tell you how we are burning money for no reason when we try to get more good debit card or ATM card for ourselves.

How ATM Card Can Get Heavy on Our Pockets?

Every one of us knows that whenever we open a new bank account we get a debit card or the ATM card issued to us by the bank. But have you ever thought about the Annual Maintenance Charges of the card issued to you?

This is where most of the customers opening multiple bank accounts get trapped and end up paying charges even when they are not using all the cards.

It gets hard to believe but there are some banks in India which charge their users heavily on debit card maintenance. But of course, you will be getting amazing offers, discounts, cashback, and loyalty points with your high-end debit cards.

The question here is how much you got benefits from those offers?

This is where we make the wrong decision. We just look at the offers which a debit card is providing us. But we just don’t bother if those offers are worth it for us.

Then Should You Not Opt for ATM Card with Good Offers?

This thing works on the benefit to expense ratio. You should make sure that the benefits which you are getting from your debit cards are more than what you are spending just to maintain your debit card.

You should go with the latest debit cards which are offering you the good stuff. But just make sure you don’t have multiple debit cards sitting idle in your pocket.

  • I will explain to you this thing with an example.

Let us assume that you have 2 bank accounts in 2 different banks.

Bank Account 1: ABC Bank Ltd. and you have 2 debit cards issued and mapped with your ABC Bank Limited.

Bank Account 2: XYZ Bank Ltd. and you have 1 debit card with good offers for you.

The annual maintenance charges for your debit card are as mentioned below. (Assumptions)

In the above situation, you are paying Rs. 1,750 per year + taxes for your debit card maintenance.

But the fact to note here is you are spending Rs. 1,250 without any reason.


That is because you are using these cards rarely. But people opt-in for these debit cards just for the sake of the terms “Amazing Offers”. But in real life, these cards are not going to work well for us. If you liked this kind of analysis then you can read more such on Bank With Us.

How Can you Maintain Good Debit Card without Spending Much?

Block the card which you have not been using regularly. If we talk with the context of the above example. Then here the user should block the Debit Card 1 and Debit Card 3. And start using the Debit Card 2 for all his needs.

But Why?

That is because here the Debit Card 2 is giving Amazing Offers as well as the annual maintenance charges can be saved. Ultimately the user is spending Rs. 750 instead of Rs. 1,750 + taxes per year.

Final Words

This is how the debit card or ATM Cards are getting heavy on our pockets and how you can save money on your annual maintenance charges. What are your views about these charges? Let us know in the comment section below.

 683 total views,  7 views today

Spread the love

Leave a Reply