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> 1. Purchase protection (insurance) 2. Chargeback protection These are available on debit cards as well. (Both by law, i.e. Regulation E, and both Visa and Ma
by lxgr 2y ago
> 1. Purchase protection (insurance) 2. Chargeback protection
These are available on debit cards as well. (Both by law, i.e. Regulation E, and both Visa and Mastercard requiring issuers to provide zero liability policies to consumers.)
> 3. Rewards either points or “cash back”
Which consumers more than pay for themselves – all consumers, including those paying cash.
- ryandrake 2y ago> These are available on debit cards as well. The UX for chargeback protection is not quite the same, though. Say someone commits fraud and charges $1000 to my credit card. All that happens is 1. Some time later, I see the charge on my list of other charges, and 2. My bill is $1000 higher this month, which I dispute. Some time later, the CC company confirms it's fraud and the $1000 (and the interest) disappears from my bill. Say someone commits fraud and charges $1000 to my debit card attached to my checking account. Between the time the fraud happens and the time the bank confirms its fraud (or otherwise restores the funds per their fraud-reporting policy), my bank account balance is now $1000 lower. Maybe some checks start bouncing. Maybe I needed that $1000 for an upcoming purchase, and it's not available for a short period of time. Yes, the numbers will all eventually be correct, but it's mayhem in the mean time.