Debit card

A debit card ( debere from Latin, debt ', Eng. Debit, Debit', account debit ') is a bank card, savings card or debit card ( trademarks, Austria ), which can be used for cashless payment or to withdraw cash at ATMs. It is mostly a manufactured plastic (usually PVC) card in ISO 7810 format. In contrast to credit the checking account of the cardholder will be debited immediately after purchase, or within a few days ( debited ). For historical reasons, the term is also erroneously still check card used because this card at the time of Euro - checks to Einlöseberechtigung ( signature verification, etc.) was used. Likewise, it is often colloquially referred to as a debit card - not only because of that very large spread of Euro check card, but because in most cases the additional function Electronic Cash is also integrated. A debit card is a payment card legally in Germany according to § 152a paragraph 1 No. 1 of the Criminal Code in conjunction with Section 4

• 2.1 distinction on the provider Maestro 2.1.1
• 2.1.3 VISA

• 4.1 Germany
• 4.2 Austria
• 4.3 Switzerland
• 4.4 The Netherlands
• 4.5 Italy
• 4.6 Portugal
• 4.7 United Kingdom of Great Britain and Northern Ireland
• 4.8 Ireland

• 5.1 EC card
• 5.2 Geldkarte the GDR

History

Today's debit card is based on a European and an American origin. In Europe, the eurocheque map was developed, which was issued in 1968. It enabled as a warranty card for a eurocheque only cash withdrawals in financial institutions and later cashless payments.

In the U.S., you could relate with ATM cards ( ATM = Automated Teller Machine) cash using a PIN. Later, they have enabled cashless payment at POS terminals (POS = point-of -sale ).

European origin - eurocheque map

→ Main article: eurocheque map

The eurocheque and guaranteeing him eurocheque card were the first institute and cross-national payments system with map. The warranty card for the eurocheque was initially no debit card. With her ​​could not be paid cash. She pointed to the owner only as a legitimate representative of the bank at the conclusion of the guarantee contract between the bank and the payee. Outside Europe (especially in the U.S.) more check guarantee systems have been implemented, which remained locally, nationally or regionally limited and did not lead to a global solution.

The name of the based on a check and a plastic card payment service, became one of the first brands in the field of financial institutions. At the same time eurocheque was the first cross-border service of its kind in Europe. The reputation of the bank card meant that the Maestro card, which replaced the EC- map below, in Germany still bears the ec Pictogram. The EC was umgemünzt on Electronic Cash.

With the advent of ATMs since the late 1980s, the 1970er/Anfang eurocheque card in several countries - used as operation medium - in addition to their traditional function as a guarantee card for eurocheques. Thus, the eurocheque card was a first debit function, the Direct Debit ATM references added. As of June 1, 1984, it was possible to perform with eurocheque cards cross-border ATM transactions using the national ATM networks based on a common interchange standards. This service has been rapidly under the ec - icon to a standard of eurocheque cards and the European ATM.

The next steps in the development of eurocheque map to a comprehensive debit card made ​​since the late 1980s/early 1990s under the brand edc as European POS function next to the ec Pictogram as European ATM function. Due to the progressive globalization of the economy with special emphasis on cross-border payments, the two functions were merged as a trademark and merged as global debit functions for ATM and POS use under the logo Maestro since 1993. The eurocheque card was so, even though the national use retained the greatest importance, a world-ready electronic debit card. The check guarantee function came increasingly into the background.

Due to the The sharp rise in use of electronic debit functions at the POS and ATM and the decreasing importance of the paper based on the eurocheques eurocheque guarantee the end of 2001 was set.

American origin - ATM card

Called With the advent of ATMs in the U.S. Automated Teller Machines (ATM), the first ATM cards were issued in the 1970s. They served to relate with card and PIN banknotes from ATMs. They were originally issued exclusively by financial institutions for their own customers to use at their own ATMs. The burden was on the checking account ( checking account ) of the customer. In order for these ATM cards were typical debit cards.

Due to the fragmentation of the U.S. banking system, the increasing mobility of customers and the high cost of construction and operation of such ATM systems soon formed a joint venture that for ATM transactions on its electronic funds transfer networks (EFT networks ) technically unwound ( switches ). The ATM and the ATM cards of the financial institutions involved were provided with the logo of the respective EFT networks, whereby the cardholder were able to use their ATM cards through the ATMs of their own financial institution beyond.

After the cash withdrawal had prevailed at ATMs with card and PIN, cashless payments by the same method at POS terminals had become possible, and the bank-related and local POS systems had failed due to lack of frequency, took over the regional, bank neutral and interoperable ATM switches this function, too, thus creating extensive EFTPOS networks with single messaging (authorization and clearing in a transaction). Instead of the debit from checking account for an ATM cash withdrawal will be charged once for a POS payment.

The cards used for POS transactions within the EFTPOS networks remained the same and are today - although there are now more than POS ATM transactions are - colloquially still called ATM cards. In addition, there MasterCard or Visa cards come with these functions so that the cardholder can decide at the POS, if he pays with signature ( Clearing and Settlement via Mastercard or Visa ) or PIN ( Clearing and Settlement via switch), if the the card payment accepting firms providing both payment options. If only one of the two payment options will be offered, then the POS transaction is handled by this method. For ATM transactions, the routing and thus the clearing and settlement takes place - as long as the transaction takes place at an ATM that is connected to the switch listed on the map - switch on this. Outside this range, the transaction is a MasterCard or Visa cash withdrawal.

Since the PIN -based POS transactions with these debit cards were to process cheaper and the risks were lower than those of the signature- based credit card transactions in trade and service industries, were / are the contracting company reduced fees charged for them as for the acceptance of credit cards. Nevertheless, this form of card transactions in the U.S. got off to a tough - the payment habits of the Americans had to change only and not only there, they change slowly. Today, these " regionals" dominant network operators are there.

With regard to the points of acceptance for many years the food retail stores and gas stations were dominant. Only in the mid 1990s, POS terminals began to spread with a PIN pad in all industries. Overall, PIN transactions are now being accepted in a wide range of companies. The reason for this growth was that the POS terminals have become increasingly favorable with PIN pad, which made the purchase because of the differences of the lower debit card fees in comparison to the higher credit card charges commercial sense. One can assume that in future all terminals in the United States for signature -based transactions (mainly credit cards ) and PIN -based transactions will enable (primarily with debit cards).

While there is an abundance of EFTPOS networks was until the mid- 1990s, the PIN transactions with the cards of its partners, which were almost exclusively banks unwound, then began a consolidation, which brought a hitherto thought impossible concentration with it. The purpose of this merger was to strive for more transactions to come to lower settlement costs. In parallel, gave most of the shareholder banks on their investments in the EFTPOS networks, which non-banks took control.

From the eurocheque and ATM card to global debit card

Starting from the two origins and the creation of various credit cards clones with prompt debit from checking account / Cheque Account created a wide range of debit cards.

The former eurocheque cards remained after adjusting the eurocheque Services end of 2001 only the ATM POS function. More or less every 72 million eurocheque cards wore even then the Maestro logo - the logo for the online PIN - debit product of the MasterCard organization - and allow their cardholders worldwide numbers and global cash withdrawal with card and PIN. Part of this card has the Maestro function for cross-border transactions in addition to a national debit function for transactions in the country, another part uses the Maestro logo as a Domestic fire, which the cardholder must pay attention only on a logo.

Much like in the U.S. there were in Europe - some time lag - even pure ATM and later ATM POS cards usually for national / bank-specific ATM networks and POS payment systems. These were, in order to achieve wider application, marked with the logos of international debit card organizations. From this pool, both Maestro and the Visa organization gained additional cards. Of the Visa Debit Visa Electron brands - an online debit product based on signature for POS payments and PIN for cash withdrawals at ATMs - the most widely used.

In the United States began with an increasing concentration of a boom of the ATM switches POS cards, which are now issued by almost all financial institutions. These cards are often provided with the plurality of switch logos, if a financial institution not only operates in a region retail business.

Today Concord EFS is with Star, the largest switch, where now the former switches Honor, Mac and Cash Station were integrated, and with NYCE, a large active in the Eastern U.S. switch, which will be integrated soon in the dominant switch star. The market share of this group is at the point of sale transactions now more than two-thirds ( 2002). Meanwhile Concord EFS was of FDC, one of the largest provider of credit card contract business services of the United States, adopted.

With the upward trend in the credit card business featured U.S. banks soon realized that on the basis of card processing at the POS according to the rules of Mastercard and Visa also has a direct charge to the Cheque accounts for those customers who are financially ineligible for a credit card in question or to are a Revolving Credit not interested, in many cases makes sense. These cards - MasterCard or Visa MasterCard Money ChequeCard - can be accepted with POS terminals for cashless payment with all MasterCard or Visa contractors. Each transaction is authorized online by the card-issuing bank. As with credit cards, data transmission is for Clearing and Settlement in retrospect. The Cardholder Verification is done at the POS as with credit cards through signature.

Most carry such debit cards with the MasterCard or Visa logo and the logo of one of the major U.S. switches, so that the transaction depending on the decision of the cardholder at the POS is a MasterCard or Visa transaction with a signature or a switch transaction with PIN if the card payments accepting undertaking provides both payment options. If only one of the two payment options offered by the trade or service company, then the POS transaction is carried out through this process. For ATM transactions, the routing (and thus the clearing and settlement ) for the corresponding switch is primarily and secondarily to MasterCard or Visa.

The world's two largest debit card systems Maestro and Visa Electron are currently trying the rapidly growing debit card market to participate and

This reveals a trend that more and more debit cards are to be used globally debit cards. In parallel, there are massive efforts of Maestro and Visa Electron, worldwide, the card acceptance through the acquisition of contractors to ensure with corresponding POS terminals.

At least a temporary reversal in the internationalization of debit cards represents the successive replacement of the Maestro card can be used globally by the currently limited to Europe V-Pay Card

The project Monnet since 2009 planned German and French banks, to establish a European debit card. Also to be found with PayFair and EAPS two competing systems in planning.

Debit systems

Distinction on the provider

Maestro

Since 1 January 2002, the eurocheque card for confirmation of cashing checks to guarantee € 400 DM has had its day. For this, the credit card number had to be mounted on the back of Eurocheques. Since then, Banks and Credit Unions communication increasingly to the concept Maestro card to. In this case ( " cash Facts & world " ), the Maestro function, with which the cards have been around since the 1990s, brought to the fore. Maestro was introduced in 1992 by MasterCard Worldwide on the market.

In 2004, the Maestro card for cashless shopping in trade and global disbursement of cash at ATMs came. A Maestro card is a normal debit card (bank card, savings card), recognizable by the corresponding symbol. Maestro is a cashless payment function that is built and operated by MasterCard International. Maestro is the second major addition to VISA International Debit system.

Since 2008, for reasons of cost two co-branded versions of Bank Cards: The Maestro system allows the cardholder continues to withdraw cash worldwide and pay by electronic cash, while the Cirrus system, the focus is on ATM withdrawals - the ec-cash capability here is limited, but the card is less expensive to manufacture. Background of the reflection is that in any case only a fraction of the customers in countries outside Europe ec-cash payments may want to perform (eg, at point of sale terminals in supermarkets ), and if they do, rather then switching to the credit card.

MasterCard is a debit system that is widespread in the U.S., but also worldwide. In addition, MasterCard operates the infrastructure of the Maestro Card. Cirrus is the ATM trademark of MasterCard. A card with Cirrus logo can be used at ATMs, which also have the Cirrus logo, and is often compatible with Maestro worldwide. In Germany the name MasterCard is associated more with the cards issued under the same name credit card.

VISA

VISA is a large debit system from the USA and also represented worldwide. In France, for example, the VISA cards either debit or credit cards. In addition to the credit card or debit card VISA, the company operates the debit card V Pay and VISA Electron card that can be issued as debit, credit and prepaid card. PLUS is also the ATM trademark of Visa.

Differentiation by country

National and international systems are often combined on a map.

• ATM available for cash purchase at the Institute's institutional and foreign ATMs by entering the PIN
• Electronic cash ( EC ) or EC card in Germany
• Point of sale without payment guarantee ( POZ) in Germany
• Electronic Direct Debit ( ELV) in Germany
• Girocard in Germany for two debit card payment systems Electronic Cash (Point of Sale ) and the German ATM System (DGS )
• PIN in the Netherlands
• Bancontact in Belgium
• Mister Cash in Belgium
• Solo in the UK
• Carte bancaire (CB) in France
• Pago ATM in Italy
• ATM (trademark ) in Austria
• Telebanco in Spain
• Servired in Spain
• MultiBanco in Portugal
• EFTPOS in Australia and New Zealand
• Interac in Canada
• Postcard in Switzerland
• BankAxept in Norway
• Dankort in Denmark
• NYCE in the U.S.
• Pulse in the U.S.
• Star in the U.S.
• Interlink in the USA.

As in Europe debit cards from banks are usually issued in conjunction with a current account and the fees for payment transactions using debit cards are much lower, they have a higher spread than credit cards. The debit card is provided on the back with a magnetic strip which contains important information for the processing of transactions. Since the mid- 1990s, many of the issued bank cards in Germany ( savings bank cards) are equipped with a chip. This is a prerequisite for the use of the function as electronic purse. In Germany, by the banks and savings around 92 million debit cards (as of 2007) and in Austria over 8 million (as of 2005) issued.

Security

To prevent abuse, you have to authenticate themselves when using. This is usually done by entering a personal identification number (PIN ) or by a signature.

Debit cards in Germany contain a dielectrically embossed identification code that is read capacitive. Unlike the magnetic stripe, the so-called MM- feature ( modulated feature ) is hard to copy. Fraudulent withdrawals with duplicates are made mainly abroad, where the MM feature is not read.

In Germany debit cards can be disabled via the emergency number 01805 021021 (costs up 42ct/Min ). Since July 2005, the lock - emergency call 116 116 is connected in Germany for all locking operations. However, currently not all banks support the blocking of the card via the central emergency number. In case of theft or loss, the debit card for use by direct debit via the hotline 0800 1044403 should be locked ( free from fixed and mobile network) or via the internet addition to the mandatory report to the police.

Austrian Maestro cards can be disabled via the emergency number 0800 2048800 ( in Austria ) or by calling the emergency number 43 1 2048800 ( outside Austria).

Situation in individual countries

Because of the distinction between national and international systems, the dissemination and acceptance of the situation in each country is very different. While some countries rely mainly on one or more national systems, which can possibly lead to significant problems of acceptance of foreign cards, while others rely exclusively on international solutions or a real parallel operation.

Germany

There is a national debit card scheme under the name Electronic cash, which is used by far the most common. However, this system only works with German cards.

The international functionality German EC cards is ensured by a so-called co-branding with Maestro or V Pay. Each debit card is also a Maestro card or V-Pay Card and can be used abroad with all Maestro and V Pay- acceptance. The V- pay system was introduced by Visa as a competitor to Maestro, however, works only in Europe, and then only at chip -enabled terminals. A use in non-European countries is hereby no longer possible. The use of the Maestro or V-Pay functionality in Germany, however, is contractually excluded by the co-branding agreement in order to prevent direct competition with electronic cash.

Foreign Maestro or V-Pay cards are not accepted in Germany to pure EC funds. Each EC- acceptance body shall have the use of such cards through a separate agreement with their respective payment service providers allow what is regularly associated with additional costs. Particularly in local retail stores and, for example, in most supermarkets can be expected, therefore, the acceptance of foreign cards mostly not.

Austria

The used across the upcoming debit card system is Maestro, all domestic and foreign Maestro cards are accepted.

Maestro cards are often used as a quick card.

Switzerland

One of the two coverage coming to use debit card systems is Maestro, all domestic and foreign Maestro cards are accepted.

The former national EC system (which was not with the German Electronic Cash identical and worked exclusively with Swiss Card ) is now fully absorbed into Maestro.

In addition to the postcard system PostFinance there is another national debit card network, which is also widely available (usually Maestro and Postcard from all points of acceptance are equally accepted). The Postcard is used for cashless payments under EUFISERV not only in Switzerland, as are cash withdrawals at ATMs of all banks affiliated with EUFISERV possible.

Netherlands

There is a national payment system called PIN. PIN debit cards are now issued with an EMV chip and can be used by co -branding with maestro abroad. PIN is extremely popular in the Netherlands and is accepted in almost any business. In common parlance, the cashless payment called " pinning ".

Italy

There is a widespread national debit card scheme under the name PagoBancomat. This system works exclusively with Italian cards. Most Italian banks give PagoBancomat cards in co-branding with international systems such as Maestro or - with the appropriate creditworthiness of the customer - also with credit cards from. Unlike in Germany, the functionality of the respective international system can also be used for all corresponding points of acceptance at home.

Besides PagoBancomat the international debit card systems such as Maestro are widely used to maximize usability of foreign cards is largely ensured at least in tourist -related areas in Italy. In particular, smaller businesses (local supermarkets) set, however, they allow any non-cash payments, often continue on a pure PagoBancomat solution and, thus, include foreign customers by the card payment.

The Italian Post Bank has provided its customers out no PagoBancomat, but so-called Postamat cards. These were initially mainly the cash withdrawal immediately for cashless payment, they are still, however, only very sparse accepted ( Postamat payments are possible, for example, at motorway toll booths ). Through a usable also in the domestic co-branded with Maestro those poor acceptance situation was largely defused.

Portugal

With the MultiBanco system is 1985 in Portugal a single debit cards and ATM system of all banks in the country have been created. Their widespread machines accept most of the standard international debit cards, but the payouts limit to 400, - Euro daily.

United Kingdom of Great Britain and Northern Ireland

In the United Kingdom are mainly international debit card systems used. Giving British banks either " Visa Debit " cards (formerly Visa Delta ) or Maestro cards (formerly Switch) from. A supporting role play " Visa Electron " (instead of Visa) and "Solo " (instead Maestro), these cards will be handed out in particular to minors or account holders with poor credit ratings because they only work with online authorization and thus can not be overdrawn.

All the cards have also the "Link " feature to withdraw cash at ATMs, Solo cards have on the reverse a Maestro logo for payments abroad. All cards ( Visa Debit, Maestro, Electron, Solo) can be paid both in stores as well as mail / phone and the Internet. British debit cards are always equipped with an EMV chip and can be used in terminals only by entering the PIN number, this system is called " Chip and PIN".

Ireland

The largest debit card system in Ireland is called " laser " and was introduced only in 1996, before there was only credit cards. Laser cards issued by seven banks and can be used both in stores as well as mail / phone and the Internet. For use abroad they are usually provided with a Maestro or Cirrus co-branding.

In contrast to most of the UK bank Halifax Irish banks in Ireland are no laser card, but a " Visa Debit " card as in the UK. The Irish Postbank, however, are Maestro cards ( without laser ) from.

All cards are, as in the UK, with " Chip and PIN".

Historical debit cards

Debit card

Debit Cards German credit institutions are combined EC-/Maestro-Karten usually where " EC" no longer for " eurocheque ", but for the German debit card system Electronic Cash is. Many shops in Germany, for example, almost all gas stations and supermarkets accept only electronic cash (or ELV / POZ ), but not V Pay or Maestro. This makes up for German customers is not apparent since their cards are always compatible with electronic cash anyway. Customers with foreign Maestro or V Pay cards but it happens more often that their cards are not accepted.

Money card of the GDR

The mid-1980s began in the GDR with the construction of an electronic credit card system. Each holder of a current account could receive a cash card, which will stand out in the framework of his account balance at any ATM in the country free money - bank overdrafts, there was not, as in the present form, it but payments were granted to about 4,000 marks of the account balance. In contrast to today's debit card was not signed on the card, but already on the application. So could not obliterate the signature and was forged. Also a Passport photo was glued to the application. The application itself presented thus simultaneously the actual " blank " for the card dar. Also the application could choose their PIN. This was entered via a numeric keypad and coded ( with a floppy disk ) given to the application. The personal identification number was on the card next to Name and account number also entered. However, by the end of the GDR, the network of ATMs was not very tight, so that this system was able to prevail only in larger cities.

With the entry into force of the monetary, economic and social union with the Federal Republic of Germany, the ATMs of the GDR were converted to the output of DM, but the proportion of functional DM ATM was rather low. This was partly due to the at this time generally quite difficult obtaining cash, since checks were a common and secure method of payment in the GDR, either before could still be redeemed after the entry into force of the economic, monetary and social union in the Federal Republic of Germany, the cash card there was not usable and also the issue of debit cards as well as the record of such ATMs in the GDR was only able to gradually take place.