Debit Cards Growing in Popularity

[Baritone]

Have you been using debit cards more than paper checks? You aren't alone!

Electronic payments -- including credit and debit cards -- accounted for more than two-thirds of the 93.3 billion noncash transactions in the U.S. last year. That has been increasing at a 12.4% annual pace since 2003.

The Fed's prior payments study found that in 2003 the number of electronic and check payments was roughly equal.

The total value of all noncash payments last year was $75.8 trillion, growing at a 4.6% rate since 2003.

Debit cards are now the most frequently used type of electronic payment, surpassing credit cards, the Fed said. Consumers made about 25.3 billion debit transactions -- about $1 trillion worth -- compared with 21.7 billion credit-card purchases valued at $2.1 trillion.

The study, based on a survey of financial institutions and payment processors, said the number of checks paid out by banks has been declining at a 6.4% annual rate from 2003 to 2006.

What are your thoughts? Do you use a debit card frequently?

[GoodCreditMan]

I do indeed. At least there is no frigging balance that way!

[Ally]

No interest, either. That's the deal breaker.

[fred333]

I would have to say so.

[Dory]

I use my checks for three payments, just so I have signatures as proof when the bank adds it to my account. My rent, my electric bill and the cable bill. That's it. Everything else goes on the debit card, which is the same account.

[lkbrite]

Originally Posted by Baritone

Have you been using debit cards more than paper checks? You aren't alone!



What are your thoughts? Do you use a debit card frequently?

thats all me and my wife use.if you dont have the money dont spent it.

[NightStar]

I use debit cards most of the time myself, but unlike credit if you are a victim of ID Theft, the money on the debt card is just gone, none replaceable like the credit cards.

[xavier11]

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