3 ms·
> Plus, if you're traveling, you really don't want to put hotels or rental cars on a debit card - they put a huge hold on your balance. Isn't any hold equally
by AnssiH 7y ago
> Plus, if you're traveling, you really don't want to put hotels or rental cars on a debit card - they put a huge hold on your balance.
Isn't any hold equally large on a credit card? I've never noticed any differences in the size of holds between credit and debit (Finnish VISA cards).
- lotsofpulp 7y agoIt’s the same, but people tend to pay large bills using bank accounts (in the US, landlords, mortgage issuers, taxes for government, insurance, utilities, tuition, etc typically don’t accept credit cards for payment.) So you don’t want to give someone access to your bank account unless you absolutely have to, since they can “authorize” or “hold” funds in your account which can cause other expenses to not get paid.
- AnssiH 7y agoMakes sense. Somewhat related, I'm guessing from this that card usage limits are not common in US? Here almost(?) all debit/credit cards have daily limits that you can change via web/app/call, so there can be no arbitrarily sized holds.
- lotsofpulp 7y agoThere probably are, but they apply to the total of all transactions, so it wouldn’t seem useful against protecting from a single merchant using up all of your funds/credit.
- ThrustVectoring 7y agoIt's the same size, but smaller impact on credit cards. If there's a $1000 hold on your debit card, your bank account needs to have at least $1000. If there's a $1000 hold on your credit card, you only have to wind up fronting the cash for what actually ends up getting charged.