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Blueprint Problems Ch 6 Billingsley Attempts: Attention: Due to a bug in Google Chrome, this page may not function correctly. Cick here to learn more Keep the Highest: /1 7. Debit cards A debit card provides direct access to your checking account. When you use a debit card to purchase goods or services, the amount of the purchase is immediately deducted from your checking account balance Consider the following example: Kevin has decided to conduct his financial business on as much of a cash basis as possible. He always has his checkbook with him and keeps timely and detailed records of his financial transactions. His weekly pay is automatically deposited into his checking account. Would you recommend that Kevin use a debit card? O Yes No What is the basis for your recommendation? Kevin keeps detailed records and always carries his checkbook. Kevin would probably remember to record transactions and thus, avoids the risk of overdrawing his checking account, especially since e has arranged for his pay to be directly deposited into his checking account. why is it important for you to know about debit cards and how they work? Here are a couple of reasons Using a debit card without getting into trouble with it requires self-discipline . If you know that you are unlikely or unable to keep good records you stand the risk of overdrawing your checking account and having to pay overdraft fees. Using a debit card can help you avoid potential credit problems Blueprint Problems Ch 6 Billingsley Attempts: Attention: Due to a bug in Google Chrome, this page may not function correctly. Cick here to learn more Keep the Highest: /1 7. Debit cards A debit card provides direct access to your checking account. When you use a debit card to purchase goods or services, the amount of the purchase is immediately deducted from your checking account balance Consider the following example: Kevin has decided to conduct his financial business on as much of a cash basis as possible. He always has his checkbook with him and keeps timely and detailed records of his financial transactions. His weekly pay is automatically deposited into his checking account. Would you recommend that Kevin use a debit card? O Yes No What is the basis for your recommendation? Kevin keeps detailed records and always carries his checkbook. Kevin would probably remember to record transactions and thus, avoids the risk of overdrawing his checking account, especially since e has arranged for his pay to be directly deposited into his checking account. why is it important for you to know about debit cards and how they work? Here are a couple of reasons Using a debit card without getting into trouble with it requires self-discipline . If you know that you are unlikely or unable to keep good records you stand the risk of overdrawing your checking account and having to pay overdraft fees. Using a debit card can help you avoid potential credit problems