CFPB-PR-240827-1 (Aug. 21, 2024) CFPB Report Finds Large Retail Chains Charging Cash-back Fees to Customers Using Debit and Prepaid Cards – Closures of banks have created conditions for major dollar store chains to charge for cash back WASHINGTON, D.C. – Today, the Consumer Financial Protection Bureau (CFPB) published a new report finding Americans are paying tens […]
Category: Debit Cards
Debit cards are payment cards linked directly to a consumer’s checking account, allowing users to make purchases or withdraw cash using the available funds in their account. Unlike credit cards, debit cards do not allow borrowing and require sufficient funds in the account for transactions to be approved. Associated fees may include overdraft fees if users attempt to spend more than their balance, foreign transaction fees for international purchases, and sometimes ATM withdrawal fees if using an out-of-network ATM. Fraud involving debit cards can occur through methods like skimming, where criminals capture card information at ATMs or point-of-sale terminals, phishing schemes to trick users into providing card details, or unauthorized access to the card or account, leading to unauthorized transactions. To protect against fraud, consumers should monitor their accounts regularly and use secure, trusted machines and websites for transactions.