Debit card from a Credit Union?

Thanks everyone. Seems I have a list of questions to ask my credit union. My credit union is fairly small and account types are limited. They just started to have the option of a Visa debit card. I also have an account with another bank with checking and savings accounts. I just thought it would be easier since the money I am using for the trip is in the credit union and would not have to transfer it out to my other bank to use their Visa debit card. Also I was thinking perhaps I should get both Visa debit cards from both locations and put some money in the other bank just in case...you never know about ATMs.

No. I have one that works the same way. The link is to an account, if you don't have two types of accounts under the same number, the option idea is moot.

Edit: Based on what Nancy said (below), I'll see what kind of account that is in my credit union and revise if required.

It does have to be linked to a checking account. European ATMs don't give you an option of what kind of account to draw from like they do here.

I am not sure I understand the problem. Are you saying that your credit union does not have a checking account option? I would find that most unusual. My credit union has a different name for the checking account -- don't remember exact what it is call -- shared savings? But it functions just like a checking account - can write paper checks against it, withdraw cash via a debit card, etc. and it works perfectly in Europe. If that is the question you are asking,it should be OK. But we also have a "saving account" at that credit union that cannot be accessed with the debit card. I don't know if this is helpful or not.

I think Ed is right. If you have a debit card linked only to a savings account, you'll be fine.

If your card is linked to a checking and a savings account, European ATMs will always default to the "primary" account (usually - but not always - checking). The ATM won't give you a choice of account, as some U.S. ATMs do.

I've heard that a lot of banks don't allow debit card withdawals from savings accounts. Don't know if this is true.

Sherri,

I'm not sure I understand your questions, but have a few comments to add to the others.

In most cases, your travel funds must be in a chequing account, as the Banks in Europe will default to that. You won't be given a choice of which account to withdraw funds from.

I wasn't aware that VISA had an option to withdraw funds from a Bank account? Normally with VISA withdrawals, this is treated as a "cash advance" and the interest rates are horrendous.

I also deal with a Credit Union and in fact that's the primary ATM card I always use in Europe. I have both a chequing account and savings account with them. When my travel funds are almost depleted, I simply transfer more in from the savings account, using the Internet or a quick phone call to the Credit Union call centre.

I would strongly suggest that you take at least two ATM cards, as well as at least one credit card. A four number PIN is a good idea.

Finally, BE SURE to notify the financial institutions you deal with that you'll be travelling, so that they don't "freeze" your cards when they detect a difference in spending patterns.

Happy travels!

Ed, Sherri is referring to a Visa-branded debit card, not a Visa credit card (which would be treated as a cash advance, as you said). In my case, I have two checking accounts and two savings accounts at two separate credit unions. Both debit cards are Visa-branded, meaning I can use them at any ATM with the Visa logo. In the US I can use my debit cards to withdraw money from either my checking or savings. In Europe, the only account that will be drawn from is my checking.

Sherri, you say you "want to have" a Visa debit card to access your savings. Do you even know if your credit union allows debit card access to a savings-only account? That should maybe be your first question.

As long as the debit card is visa-branded, it should work fine. We just returned from a long trip in Europe and used my wife's debit card almost exclusively since the charges were only 1%.

However, you should have at least one, and preferrably two other credit cards to use as back-up in case of a glitch in the system.

It seems like at least once every trip we have to call the bank to tell them that yes, that was us making the charges in Europe and to please take the hold off of our account, even though we dutifully made all those calls before we left home, too.

It's just human/computer error. But you have to have a plan B.

Tom,

Thanks for the clarification. I also have a Global Payment MasterCard but I've never tried to make ATM withdrawals with it, only purchases. I was going to try it later today.

Cheers!

Okay, I threw off the whole ball of wax and didn't undertand it until Nancy straightened me out. What I have is a credit union ATM card linked to only a savings account (I have no checking account at that place). It is not visa or mc, just the cirrus and other stuff. With this plain vanilla scoundrel I can get money from ATMs all over the world. I have no idea if it can be used as a debit card, since the notion is essentially foreign to me. Now I are smart again.

Sherri,

One other comment.....

"Please note that some credit unions actively block the use of their Visa and MasterCard branded debit cards from use in ATM machines and point of sale purchase from some countries"

There are exceptions though. Some Credit Unions offer a product called a Global Payment MasterCard which is used the same as a "normal" credit card. A signature is required for purchases, and the merchant processes the transaction in the usual manner. However, the card is actually linked to a chequing account and funds are withdrawn from that rather than being posted as a credit card debt. AFAIK, the Global Payment card can be used for ATM withdrawals also (but I'd have to check).

You might contact your Credit Union to see if they offer that product.

Cheers!

@Ken: I'm familiar with the "Global Payment" Mastercard. Yes, you can use it for ATM withdrawals.

I think you can only get these cards at credit unions. Not sure why this is so.

I thought I would also mention that, in addition to letting your credit union know of the countries you’ll be visiting, make sure they up your daily limit so that you don’t end up being denied funds at an ATM machine. I can use my credit union’s Debit MasterCard in machines all over Europe, but another credit union I used a few years back wouldn’t allow the card to be used at ATMs in Italy. I had to ensure I had enough Euro with me when I left Austria. My new credit union doesn’t have this restriction, but I thought it might be helpful for you to know (so you can ask). Take more than one card with different PINS, make sure there isn’t a skimmer on the machine, and cover the keypad with your free hand when you type your PIN. Happy travels!

Bingo, Sherri! Two banks to (potentially) draw money from is a great idea. And if you are traveling with a spouse, etc., have them also carry cards for those accounts. My husband and I have had one person's card work, but not the other one's card...and the banks were told about both of them being out of the country in the same phone call! (scratches head) (FYI those were VISA Debit cards)

Get emergency contact info for both banks - if there's a problem, you want to speak to the correct people; sometimes, it's a different ph # or email address for European 'crises'.

I would just point out that, if a thief gets your debit card, he's unlikely to use it at an ATM machine because of the PIN requirement & the daily withdrawal limit. Instead, he'll clean you out by using it as a credit card - no PIN required.

Yes, and there are also several ways for him to obtain the PIN of an unsuspecting ATM user. Coupled with the account info obtained via the skimmer device, he can create a new card almost instantly and use it to withdraw money from an ATM (or he can use it like a credit card almost anywhere). Daily limits might prevent him from getting much cash today in an ATM, but 24 hours from now is another story.

I wouldn't get too paranoid about it but would just use a little precaution.

The way I see it, the greatest risk is loss or theft of your debit card itself - because the thief can starting using the card (as a credit card) immediately. He doesn't have to know your PIN.

And what good is your PIN to him if he doesn't have your card too?

They have the equipment to duplicate your card, magnetic strip and all, and they can do it quickly from a car parked nearby (or from anywhere).

Wow. Tons of information. Thanks everyone. At least now I know what questions to ask to see what will work best for us. Thanks again.