A debit card is undoubtedly one of the easiest and most commonly used financial instruments and is used for making payments and getting access to cash. These cards are linked to your bank savings or current account. So the amount you can withdraw from a debit card depends directly on the amount of funds you have in your account.
Top Banks offering Debit Cards in Malaysia
How does a Debit Card work?
The debit card is used to draw money from your savings or current account. You can use the card to withdraw cash according to your needs. In order to withdraw the money, you need to visit an ATM and use your card to get instant cash by entering the PIN associated with your card.
You can also use the card directly for retail transactions as well as online transactions by entering details of your card like card number, name, expiry date, PIN etc. Your debit card is directly linked to your savings or current account. Thus the amount you can withdraw directly depends upon the funds you have in your account.
Features and Benefits of a Debit Card
Here are the features and benefits associated with a debit card:
- You can use your card to withdraw cash from your account.
- You can also use your card as an alternative to cash and carry out a range of transactions.
- Some debit cards even offer you rebates and rewards points upon use.
- You can keep a track of the expenses made on your card via monthly statements and instant SMS alerts.
- The card is secured with chip and pin-and-pay method.
- You can set a daily withdrawal limit and transaction or purchase limit on your card.
Types of Bank Cards in Malaysia
Types of debit cards based on the banking principle
Based on the banking principles, there are two types of debit cards available in Malaysia:
- Conventional Debit Cards
- Islamic Debit Cards
Types of debit cards based on the benefits associated with a card
There are two types of cards bases on the benefits associated with them:
- Rewards debit cards: A rewards card provides you with rewards points for transactions carried out on it. You can accumulate the points in order to get discounts or redeem it for gifts from the bank’s reward catalogue.
- Cashback debit cards: These cards offer you a percentage of cash rebate for transactions carried out on them. These rebates generally come with a monthly cap.
The following are the eligibility criteria associated with a debit card:
- You can get a debit card if you have a savings or current account with the bank.
- You need to be at least 18 years old in order to have a savings account or a current account open in your name. Some banks also offer junior cards that allow customers aged between 12 to 18 years to open a savings or current account.
- Most of the banks allow Malaysian citizens, Permanent Residents, and foreigners working in Malaysia with a valid work permit to apply for an account.
The bank will require you to submit the following documents:
- A copy of MyKad.
- A copy of passport.
- Income stating documents.
- Birth certificate for customers who are younger than 18 years.
Banks providing Debit Cards in Malaysia
The following is the list of banks offering debit cards in Malaysia:
- Alliance Bank: Alliance Bank comes with a range of debit cards offering cash rebates and ease of payment. The cards provide you with a quick access to cash and are accepted around the world.
- Maybank: Maybank gives you an option to choose from 8 debit cards according to your needs while giving you easy access to cash.
- Bank Islam: There are 7 Bank Islam debit cards available for you to choose from. The cards provide you with a range of benefits everytime you use the card.
- Bank Muamalat: The Bank Muamalat debit card works on the Islamic banking principles of Shariah. This card has a validity period of 5 years.
- Citibank: Citibank offers you an option to choose between two debit cards. The cards will fetch you Citibank rewards points with every purchase while providing you with easy access to your funds.
- Hong Leong Bank: The bank offers 4 cards. The cards are accepted worldwide for cash withdrawal and retail transactions.
- Public Bank: Public bank debit cards come with a range of 7 debit cards which you can select based on your needs. The bank also has student-oriented cards.
- RHB: There are 4 cards offered by RHB that you can choose from. These cards come with an ease of cash access and rebates on the transactions made on it.
- UOB: The UOB debit card is accepted and recognised globally. This card lets you withdraw cash on-the-go, offers you rebates on retail transactions, and special discounts on a range of products.
- AmBank: The two debit cards offered by AmBank come with a contactless payment feature and 3D protection facility. The card can be used for instant cash withdrawal and retail purchases.
- BSN: The debit card offered by BSN comes with the capability of carrying out contactless transactions through the Visa payWave facility. The card can be used for cash withdrawals, bill payments, and retail purchases.
- Bank Rakyat: You can also get exclusive MasterCard privileges and benefits with the usage of this card.
- CIMB: The cards offered by CIMB offer you rebates on your retail purchases and lets you carry out cash withdrawals around the world. These cards also come with quick payment via tap-and-wave feature.
How to apply for a ATM Card
- Online application: You can put your request for a savings account or current account on official website of a bank. Once your account is activated, you will receive your debit card.
- Offline application: You can also apply for a savings or current account by visiting a bank’s branch and submitting the required documents. Once the account is opened in your name, you will receive a banking kit containing your debit card.
Debit Card online payments
When you decide to make the payment for your online transactions, firstly you need to enter the card number, your name as on the card, and the expiry date of the card. You will also be asked to enter the security number on the back of your card. The online payments are also secured via 3D protection that is used for authentication of the purchase.
How to get immediate cash with a Bank Card?
In order to get immediate cash using your debit card, you can visit the nearest ATM. You can make cash withdrawals from ATMs from other banks as well. Keep in mind, such transactions have the chance of carrying a higher withdrawal fee. The amount you can withdraw depends on the daily withdrawal limit set on your card and the amount of funds in your linked account.
What is the main difference between a Prepaid Card, a Credit Card, and a Debit Card?
- A prepaid card, unlike a debit card is not linked to your bank savings or current account. The amount of cash you can withdraw or make payments using your prepaid card depends upon the money you had loaded on the card. But the withdrawal limit of a debit card depends upon the funds you have in your bank account and the withdrawal limit set on the card.
- A credit card is different from a debit card in a number of ways. Firstly, the amount of money you can use from a credit card doesn’t depend upon the funds you have in your bank account unlike a debit card. Secondly, the cash withdrawal using a debit card charges you with a relatively lower transaction fee than that of a credit card. Credit card lets you spend a limited amount of money, called credit limit and will charge you an interest on monthly basis. Whereas, the limit of money you can use via a debit card depends upon the funds in your bank account.
Q. Is there an annual fee associated with a debit card?
A. The annual fee charged on a debit card may vary from bank to bank. Some banks charge an annual maintenance fee on a debit card. There are a number of banks that give you an annual fee waiver on your card.
Q. What are the other charges I have to bear with a debit card?
A. Some of the charges associated with a debit card are cash withdrawal fee, conversion fee, monthly statement fee, etc.
Q. What does the withdrawal limit on my card mean?
A. You will get a daily cash withdrawal limit on your card. This is generally present with a card to minimise the risk in case of a stolen card.
Q. Can I make modifications to the daily withdrawal limit on my card?
A. Yes, you can change the daily withdrawal limit to suit your needs.
Q. What should I do if I lose or misplace my debit card?
A. You should report the lost/stolen/misplaced card to the bank immediately in order to prevent its misuse. The card will then be blocked by the bank. After this, a new card will be issued to you by the bank.
Q. If I find my card after getting it blocked, can I be able to use it again?
A. No, a card that is blocked once cannot be used again.
Q. What should I do if I find a suspicious transaction made on my card?
A. In such cases, you should immediately contact the bank and get your card blocked in order to prevent any further misuse of the card.
Q. What if I enter a wrong PIN while using my card?
A. Most of the cards come with 3 reattempts. If you do not enter the PIN correctly in 3 consecutive attempts, your card will be blocked for safety reasons.
Q. I used my card for shopping, but it got declined. When I checked the account, it had funds. Why did my card get declined?
A. In such cases, the transaction gets declined by one of the following reasons:
- You have exceeded your daily spending limit.
- The card is blocked by the issuing bank after you entered a wrong PIN more than 3 consecutive times.
- The card is charged with a relatively higher amount and the card is blocked for safety reasons.
Q. Can I use my card even if there are no funds in my bank account?
A. No. You cannot use you card if there are no funds in your account. But some banks offer an overdraft facility that lets you use your debit card up to a certain limit even when there is no money in the linked bank account.
Q. What kind of security features does a card come with?
A. Most of the cards come with an embedded EMV-compliant Smart Chip to prevent fraudulent transactions. The retail transactions made on the card would also need your signature. The card is also secured with 3D protection for online uses.
Q. What should I do if I forget my debit card PIN?
A. If you forget your debit card PIN, you should contact the bank and request for a new PIN. Some banks issue a new card in such cases.
Q. Can I use my card for transactions overseas?
A. Yes, you can use your card for cash withdrawal as well as retail transactions overseas.
Q. Can I change the bank account that my debit card is linked to?
A. Yes, you can change the linked account within the same bank by putting a request for the same at the nearest branch of the bank.
Q. What happens at the expiry date of my card?
A. A debit card comes with a validity period. After the validity period is over, you will be issued a new card if you continue to have the bank account linked to your card.
Q. Can I use my debit card to withdraw cash from other bank ATMs?
A. Yes, you can withdraw cash from other bank ATMs using your debit card. But you will be charged with a withdrawal fee higher than usual (if any) in such a case.