3 ms·

I think it's almost the opposite - (I think) banks started issuing credit cards (with no ability to overdraw) as "debit cards" because it makes them more conven

• nkohari 4y ago
  All cards run through payment networks like Visa and Mastercard, which is why they all have a PAN, CVV, etc. The distinction between credit and debit really just depends on the source of the funds backing the card: either a line of credit, or a bank account that is debited. The allocation of the transaction fee is also usually different, but that tends to be transparent to the customer (and sometimes the merchant).
• prirun 4y ago
  Banks also charge an outlandish overdraft fee per transaction of something like $35, limited to 3-4 per day. The default for most debit cards AFAIK is to enable overdraft protection. You have to specifically disable it at the bank (which everyone should do). Making an extra $100/day for a few small overdrafts is a very profitable racket. "Overdraft and NSF fees cost Americans an estimated $15.5 billion in 2019" https://www.consumerfinance.gov/about-us/blog/comparing-overdraft-fees-and-policies-across-banks/ https://www.consumerfinance.gov/about-us/blog/comparing-over...