Debit Card hacked

[rstcso]

I thought checks were more secure because nobody under the age of 50 knows how they work.

The bad guys know exactly how they work. With a check, they can use the financial institution's routing number and your bank account number to drain you quickly. With ACH transactions being so common, they just need the data, not a physical check to make purchases.

 

[Hall]

but that banks debit card version had options for the owner to limit the $$$ amount of transactions and the frequency

I'm pretty sure all banks/credit union debit cards have a "maximum daily withdrawal limit" as standard. My credit union allows you to call in and get that overridden on an as-needed basis and I've had to do it a few times. They ask where the transaction is from and the amount. No idea how they process it on their end though.

 

[Hall]

I thought checks were more secure

Look at the bottom of every check you write. The numbers are check #, bank routing #, and your checking account #. Guess what's needed for an ACH transaction ? If you write a check at Walmart (and many other places), notice how they give you your check back immediately ? They scan it and immediately process an ACH withdrawal using these details.

 

[Zee09]

I'm pretty sure all banks/credit union debit cards have a "maximum daily withdrawal limit" as standard. My credit union allows you to call in and get that overridden on an as-needed basis and I've had to do it a few times. They ask where the transaction is from and the amount. No idea how they process it on their end though.

Through the app you can do it 24/7 without guessing if your bank will come through. Personally I wouldn't have one...

 

[Wylie6G72]

If your debit card is connected a bank account with FDIC insurance, is a debit card "hack" or theft a covered loss? I've had credit cards hacked and used fraudulently but never a debit card.

This covers your balance in the event of a bank insolvency. Nothing to do with fraud.

 

[FZ1]

My daughters debit card was hacked and $6000 was withdrawn in 3 withdrawals. The 'fraud dept.' of the bank (a major bank) told her that she's responsible for everything over $500 because they had her PIN #. The guy in the 'fraud dept.' sounded like he was in India and wasn't very nice about it.
She has made a police report. I know that these type instances are protected with credit cards but I've never dealt with 'debit cards'. I'm sure they can pull video at the 3 banks in question to see that it wasn't her withdrawing the cash. Has anybody had a similar experience with a 'debit card' and how was it resolved? Are the protections on a 'debit card' that different than on a credit card? Thanks for any info you have.

You need to personally go ,with your daughter, to the local bank and talk to a "live" manager re this. Moral of the story is don't get a debit card. Use only Credit cards.

 

[Hohn]

Look at the bottom of every check you write. The numbers are check #, bank routing #, and your checking account #. Guess what's needed for an ACH transaction ? If you write a check at Walmart (and many other places), notice how they give you your check back immediately ? They scan it and immediately process an ACH withdrawal using these details.

Well, yes. My post was intended for humor and apparently it was too subtle for some.

 

[Rmay635703]

I thought checks were more secure because nobody under the age of 50 knows how they work.

Security through obscurity, Most fraud is done by entities outside the country.

Whether it be credit, bank, SSI, insurance, etc. Rarely done by anyone touching our soil. (Exception being foreign entity steals by hack, dumb domestic buys data to immediately get arrested.

Personal Checks typically have high scrutiny from the bank with human intervention.

 

[Donald]

I have the debit card for my main bank account locked all the time and if I need some cash I unlock it and get the cash at my bank's ATM. Then lock it again.

When we traveled to Europe I put $1000 in another bank, told that bank what country I would be going to. Very handy to get cash as needed at bank ATMs in local currency.

 

[pbm]

I am the OP. I don't have an update but will give one when it's available. Thanks for all the replies.

 

[duck__dodgers]

I have the debit card for my main bank account locked all the time and if I need some cash I unlock it and get the cash at my bank's ATM. Then lock it again.

^^^That. everyone should have 2 (or more) checking accounts-. One bigger one that's rarely touched; one for getting cash as needed.

Lots of free checking options----and many banks offer instant transfers with other banks.

then use a credit card for most/all spending. it's a hassle but the daily micro hassle beats getting hit by lightning.

Once somehow my Amex card details got breached and someone tried to pay bail with it in Pennsylvania. but the card was locked so no harm, no spending 20 min. on the phone.

 

[pbm]

Update # 1....Chase denied reimbursement. My daughter has requested the paperwork on why it was denied. She isn't going to roll over on this...she has already contacted her state representative in Albany and plans to fight them.

 

[slo town]

I never ever use my debit card for purchases... I use only a credit card.....

The only time I use my debit card is to deposit a check or get cash from the ATM at my actual bank.

Scott

 

[slo town]

To be honest the only way to protect yourself from this is to keep your money separately in different accounts, and only put in enough for frequently used one.

This^^^. My checking account, the account accessed by my debit card, seldom has over $1,500 in it. It's my savings account that has most of my cash in it.

Scott

 

[Capt W]

It would be helpful to know if the issues people encounter are with a "standard" bank debit card or a Visa/Mastercard debit card. My primary bank offers both. I use my Visa debit card for almost everything, as it immediately pulls from our checking account. It has the same protections offered by regular credit cards...I've never once been charged a penny for fraudulent use.

 

[mk378]

Visa rules only apply if it is run as a VISA card. If PIN is used there are different rules.

 

[Capt W]

Absolutely true, but the point is this is an actual debit card that has the same fraud protections as a Visa credit card. One can't lump all debit cards in the same pot and claim they're not secure or not covered in the event of fraud. All I'm saying is there are two species of debit cards and they're not all bad.

 

[JTK]

Absolutely true, but the point is this is an actual debit card that has the same fraud protections as a Visa credit card. One can't lump all debit cards in the same pot and claim they're not secure or not covered in the event of fraud. All I'm saying is there are two species of debit cards and they're not all bad.

Agreed.

It's possible rules have changed since my bank debit/VISA got hit a few years ago. Since I have overdraft protection, once they emptied my checking account, they started hitting my savings account before I caught it. It all happened overnight. It was over $10K gone in a few hours. One call to the bank's 800 fraud number and it was handled. Every penny was refunded in ~2 business days.

In 25+ years I've never used it as a PIN / debit card and don't even know what my PIN is. I really should resort to using true plastic.

 

[Capt W]

Agreed.

It's possible rules have changed since my bank debit/VISA got hit a few years ago. Since I have overdraft protection, once they emptied my checking account, they started hitting my savings account before I caught it. It all happened overnight. It was over $10K gone in a few hours. One call to the bank's 800 fraud number and it was handled. Every penny was refunded in ~2 business days.

In 25+ years I've never used it as a PIN / debit card and don't even know what my PIN is. I really should resort to using true plastic.

Yessir...same here. I don't think I've ever established a PIN in for this card in over 25 years.

 

[SubieRubyRoo]

Always decline PIN # entry due to hacking. Run as credit 100%.