I can't figure it out why I would need it either, nor can I figure out how RBC is making money on it. I suppose people who have trouble managing their credit card balances might prefer a 'debit' card they can use on-line instead of a credit card. But what's in it for RBC &/or VISA? It might generate more debit card transaction fees for them. RBC's site says each purchase may generate 2 transactions on your banking account - an initial authorization amount, and then a debit or credit for a final adjustment. (Why this should be is beyond me.) And I suspect VISA still collects a hidden merchant fee, same as for a credit card purchase. But if you used your credit card it would be the same fee. Maybe it's a pre-emptive strike to head off plans by internet merchants to accept your bank debit card, which would bypass the fees they currently have to pay to VISA. I had received this Card from RBC a while ago, and finally had time to look into the details. I have to say, I DON'T see ANY benefit to RBC Customers using this card. There is nothing that this card can do, that a regular VISA can't. Aside from immediately debiting your bank account. ![]() If anything, I have this feeling that financial institutions are trying to limit their exposure to fraudulent purchases. The Virtual VISA card has a 'Zero Liability' clause. However, reading the fine print it puts most of the responsibility on the customer to prove that they maintained the cards security before the Zero Liability will kick in. Has anyone activated their cards? What benefits do you see over existing cards??? What am I missing? The only real benefit of this card is for those who don't have a credit card and wish to make a purchase online. In Europe specifically the UK the majority of debt cards offered by the major banks use VISA. Here in Canada we have Interac and that's the service all the banks want us to use for debit. ![]() Web search information about Rbc Credit Card Activation. How to Activate a Debit Card using Digital. When will I be able to activate my RBC Royal Bank Visa card? Feel confident using your new RBC Visa Platinum Card. Page 2 of 2 RBC Visa Platinum Debit Card. Debit Card, one call will activate them. So this is beneficial for making an online purchase from a retailer who may not accept INTERAC. I guess this is a slow way of VISA gradually entering the debit market in Canada. I read an article a while back about how retailers are against the VISA because of the higher fees when compared with INTERAC. But as has been said in summary it is for online transactions only and really only of benefit if you do not have a credit card. ![]() Today are three types of debit cards available in Canada. The first is, Interac, which is Canada’s longest serving debit card. The next two are VISA debit and MasterCard debit. Both VISA & MC debit have served as debit cards for Americans for years but are new to Canadians. Illustrates the new TD VISA/Interac Debit Card. TD uses this card as an access card for customers to access their bank accounts. Fig 1, the TD VISA/Interac Debit Card To understand debit cards you have to understand the difference between a VISA credit card and a VISA debit card. The VISA credit card allows you to make purchases and pay for these purchases at a later date, while a VISA debit card withdraws the funds directly from your personal bank account in real-time. If you find that you’re being declined on a purchase with a credit card, it’s usually due to the fact that you’ve exceeded your credit card’s credit limit. If you find that you’ve been declined on a purchase with a debit card, it’s usually due to the fact that you don’t have enough available funds in your bank account. ![]() VISA credit cards are given out to those who demonstrate good credit over time. VISA debit cards can be given out to almost anyone. For example, my 11 year old nephew has the TD VISA/Interact card featured in Fig 1. And uses his debit card to make online purchases from retailers like, iTunes. When registering online, using an ASP, i.e. Application Service Provider, you may find that your VISA debit card doesn’t work or isn’t accepted. ![]() This is extremely frustrating to Canadians and occurs often at online registration sites. The decline is due to the fact that the merchant, i.e. Owner of the website, has not yet applied to their acquirer to have VISA debit enabled for their existing merchant account. Although, the VISA logo maybe clearly visible on the purchaser’s debit card, the online registration software will not be able to process a VISA debit transaction unless the merchant account has been enabled for it. As you can see below there are more and more VISA/MC debit cards popping up in Canada day by day. So it’s important for any merchant out there that accepts VISA/MC to check with their acquirer to see if VISA/MC debit has been activated on their terminal IDs. To read more about TD’s VISA debit card, CIBC, as shown in Fig 2., also has a dual VISA/Interac debit card. CIBC’s dual VISA/Interac debit card. RBC has the Virtual Debit Card as shown in Fig 3. RBC Virtual Visa Debit card. Target has a MasterCard Debit Card featured in Fig 4. Target’s MasterCard Debit. Watch Out Interac Online, VISA and MC are Tough Competitors! Fig 5. Interac Online Interac, is Canada’s oldest debit card offering. Interac is owned by 8 shareholders which turn out to be the biggest banks in Canada. For online purchases, Interac has a service called, Interac Online. Online merchants can incorporate this debit card payment option into their online stores and registration sites. The services works by temporarily redirecting purchasers to a web portal page run by the bank where the purchaser currently banks. The portal page asks the purchaser from which account, Savings or Chequing, the purchaser wishes to have funds withdrawn from for the purposes of paying for the item or registration. Upon completion, the purchaser is returned back to the online merchant’s ASP software or shopping cart. The big limitation with Interac Online, is that only 4 of the big Canadian banks participate in this program, (i.e. BMO, RBC, Scotiabank & TD). So if you bank at CIBC for example, you’re out of luck using this payment option. Filed Under:,, Tagged With.
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