Offline Debit Card
What Is an Offline Debit Card?
An offline debit card is a type of automated payment card, like a traditional (online) debit card, that permits a cardholder to pay for goods and services straightforwardly from their bank account. As it isn't "online," there is a defer before the incurred cost is debited from the account and it doesn't need a PIN for use. It is like composing a check. These types of cards are not common in the U.S. however, are accessible in a few foreign countries. Offline debit cards may likewise be known as "check cards."
How an Offline Debit Card Works
Offline debit cards work likewise as traditional debit cards however can likewise measure up to the method involved with composing a check. An offline debit card transaction makes a debit against the cardholder's bank account with delayed processing and just requires a signature as opposed to a [PIN](/individual recognizable proof number) number.
Offline debit cards are issued by banks in partnership with a card network processing service provider like Visa or Mastercard. These cards are associated with a customer's bank account and are utilized for payments and are not accessible for setting aside withdrawals or installments from an ATM.
Offline Debit Card Transactions
Offline debit cards will frequently have a maximum daily limit that is lower than a standard debit card. On the off chance that this isn't the case, the maximum amount depends on the funds held in the underlying bank account. Since this debit card is "offline," the bank account isn't gotten to straightforwardly, significance there's a deferral of 24 to 72 hours before the amount of a purchase is debited from the account.
Users of offline debit card transactions must in any case be careful of returned payment fees and overdrafts. While the processing time and services contrast for offline debit cards in comparison to traditional debit cards, the repercussions for payments with lacking funds are as yet unchanged. Account holders can expect an overdraft fee for every transaction that is made with lacking funds utilizing an offline debit card. At times, vendors who offer preliminary acceptance of an offline debit card payment that isn't completely authorized at settlement may likewise cause a returned payment fee.
Offline debit card transactions truly do represent a risk for vendors as they are not certain the transaction will be completely completed until the processing is done and accepted, days after the fact. The vendor is vulnerable to certain risks as the customer can charge the amount yet maybe the card isn't legitimate or doesn't have the funds or the transaction is denied for reasons unknown.
Features
- Offline debit cards are essentially utilized for payments and can't be utilized for pulling out or keeping funds at an ATM.
- An offline debit card doesn't need a PIN for use, just a signature, and can measure up to composing a check.
- An offline debit card isn't associated with an online system when utilized. Funds are consequently removed from an account 24 to 72 hours after the fact.
- A similar overdraft fees and returned payment fees of a debit card apply to offline debit cards.
- Card network providers, for example, Visa and Mastercard, sponsor offline debit cards.
