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[CIBC] CORRECTION: Free Visa debit cards through TD, CIBC, other banks

  • Last Updated:
  • Oct 23rd, 2012 5:54 pm
[OP]
Member
Sep 25, 2002
227 posts
127 upvotes

[CIBC] CORRECTION: Free Visa debit cards through TD, CIBC, other banks

CORRECTION: As some commenters below pointed out, I didn't quite get this right the first time. These cards will work like standard VISA credit cards if you're making online purchases at American online retailers. In Canada, online retailers have to specifically opt to accept VISA Debit, and not that many have yet, as I discovered when I tried to make an $11.00 purchase on the Staples.ca website.

Hi all,

Sorry if I'm re-posting old news, but I just discovered that TD Canada Trust, CIBC and several other financial institutions have introduced free Visa debit cards. However, they don't seem to be making much of an effort to promote them.

Here's the relevant link for TD: http://bit.ly/KIElHd

Simply put, at TD anyhow, you have to ask your branch to replace your regular Access Card with a joint Visa/Interac debit card. There's no credit line or credit check involved, it simply replaces your existing debit/ATM card. For ordinary in-store debit purchases, it will use the Interac network as always. However, it will use the Visa network instead at those outlets that don't accept Interac, especially for online or phone purchases. Much better than those expensive pre-loaded Visa cards or PayPal and its user fees.
18 replies
Deal Addict
Jan 20, 2011
1216 posts
245 upvotes
I have had mine for awhile now they upgraded me and its awesome to use! Can make payments on things like a VISA and it just comes out of your bank account.


Edit:

And those payments are immediate.
Deal Expert
Mar 25, 2005
21318 posts
2132 upvotes
Why not just get a real credit card with rewards? I don't see the advantage.
[OP]
Member
Sep 25, 2002
227 posts
127 upvotes
Kasakato wrote:
Oct 19th, 2012 1:01 pm
Why not just get a real credit card with rewards? I don't see the advantage.
It's a huge advantage for people who:

1- Prefer to pay cash to avoid racking up interest charges
2- Are simply bad with credit and prefer to avoid it
3- Are low income, unemployed or don't qualify for credit for other reasons
4- Are already carrying too much credit but still need to make the occasional purchase where Interac doesn't work (online, in particular)
5- Don't have or don't want credit but need to rent a car (or do other transactions) that are impossible without Visa or MasterCard*

*On that score, be careful with these Visa debit cards. When you rent a car or reserve a hotel room with Visa, the merchant will often put a $500 hold on your card. In the case of a debit card, that may lock up funds in your bank account for a week or longer.
Deal Expert
Mar 25, 2005
21318 posts
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MtlWriterguy wrote:
Oct 19th, 2012 1:11 pm
It's a huge advantage for people who:

1- Prefer to pay cash to avoid racking up interest charges
2- Are simply bad with credit and prefer to avoid it
3- Are low income, unemployed or don't qualify for credit for other reasons
4- Are already carrying too much credit but still need to make the occasional purchase where Interac doesn't work (online, in particular)
5- Don't have or don't want credit but need to rent a car (or do other transactions) that are impossible without Visa or MasterCard*

*On that score, be careful with these Visa debit cards. When you rent a car or reserve a hotel room with Visa, the merchant will often put a $500 hold on your card. In the case of a debit card, that may lock up funds in your bank account for a week or longer.
The only reasons I foresee are those who do not qualify for credit and those who will get themselves in trouble with it. For everyone else, there is a larger upside with cash and rewards based cards.
[OP]
Member
Sep 25, 2002
227 posts
127 upvotes
Kasakato wrote:
Oct 19th, 2012 1:15 pm
The only reasons I foresee are those who do not qualify for credit and those who will get themselves in trouble with it. For everyone else, there is a larger upside with cash and rewards based cards.
Obviously it's best to pay cash, however, in some circumstances you just can't (it's really hard to stuff $10 bills through the Internet tubes into Amazon's bank account).

And it would be a wonderful world if everyone qualified for credit or was good at managing it, but not everyone does or is. The 47% occasionally need access to the Visa network too.

Also, the vast majority of credit cards come with ridiculous user fees that cost you money even if you don't rack up interest charges. Most people would probably be financially better off without multiple credit cards, and this fills a necessary gap in the market.

Which is why, I'll bet, that the banks aren't doing much to promote this. They need to offer this for competitive reasons, but I'm sure they prefer to keep their clients paying high user fees and interest charges on their credit cards.
Deal Expert
Mar 25, 2005
21318 posts
2132 upvotes
MtlWriterguy wrote:
Oct 19th, 2012 1:24 pm
Obviously it's best to pay cash, however, in some circumstances you just can't (it's really hard to stuff $10 bills through the Internet tubes into Amazon's bank account).

And it would be a wonderful world if everyone qualified for credit or was good at managing it, but not everyone does or is. The 47% occasionally need access to the Visa network too.

Also, the vast majority of credit cards come with ridiculous user fees that cost you money even if you don't rack up interest charges. Most people would probably be financially better off without multiple credit cards, and this fills a necessary gap in the market.

Which is why, I'll bet, that the banks aren't doing much to promote this. They need to offer this for competitive reasons, but I'm sure they prefer to keep their clients paying high user fees and interest charges on their credit cards.
Fair enough, but its important to consider the numerous benefits credit offers. Free 28 day loan, rewards, warranty, insurance, price protection, consumer protection, unlimited free transactions, investigations branch, etc. If one has the choice, credit rules.

Why is it not promoted? The uncertain legal/regulatory environment is the biggest barrier at the moment.
Deal Addict
Oct 18, 2007
2932 posts
565 upvotes
As others have said, it's good for those who does not use a credit card.

A reason why it's not promoted is I don't think visa and the issuing bank make much money off it.
Deal Fanatic
User avatar
Jul 17, 2008
9632 posts
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These have been around in Europe for 10 years now I think. Not sure for how long US had them. Finally Canada catching up finally.
Newbie
Sep 9, 2012
21 posts
7 upvotes
TORONTO
RBC also offers that, "Virtual Visa Debit". These have been around quite sometime now. I have had my CIBC Visa Debit for well over a year.
Deal Fanatic
User avatar
Sep 1, 2005
7891 posts
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Markham
Would've been good for me a couple of months ago...for those under 18 y/o kids going to university who don't have a credit card. This would have fixed my problem if I knew about it.

Still good alternative for those who have been tempted by and gotten into trouble with true credit card and as result don't have one anymore.

Thx for bringing this to my attention.
We're all bozos on the bus until we find a way to express ourselves...

Failure is always an option...just not the preferred one!
Sr. Member
Dec 28, 2009
722 posts
88 upvotes
I got mine a couple of months back with CIBC and I asked about the VISA logo on my debit card. The financial planner told me that it just means I can use my "Debit Card" wherever there is a VISA network. It doesn't mean that I can use it as a VISA credit card it just means its capable of using the VISA network if need be to carry out the transaction...someone correct me if I am wrong on this!
Newbie
Sep 9, 2012
21 posts
7 upvotes
TORONTO
omega11 wrote:
Oct 21st, 2012 11:08 pm
I got mine a couple of months back with CIBC and I asked about the VISA logo on my debit card. The financial planner told me that it just means I can use my "Debit Card" wherever there is a VISA network. It doesn't mean that I can use it as a VISA credit card it just means its capable of using the VISA network if need be to carry out the transaction...someone correct me if I am wrong on this!
You pretty much use it as a you would use a Visa Credit Card; where you cannot use Debit or Interac so yes it acts as a credit card. It is mainly useful for people with no credit cards or just don't want to deal with credit. You can use it anywhere that accept Visa Internationally and at some Canadian Merchants, highlights include Amazon.ca, Air Canada & Mobilicity.

Here's the full list of Canadian Merchants that accept it:

http://www.visa.ca/en/personal/visa-deb ... chants.jsp
Deal Fanatic
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Mar 12, 2005
8837 posts
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Victoria
I liked how RBC handled it a bit better. RBC mailed me a 2nd seperate card that I could use as a visa debit. TD integrated it into the regular access card.

It's getting better now, but at first the TD card caused alot of confusion. Cashiers couldn't seem to figure out if it was VISA or DEBIT and I kept having to say it was debit to pay for stuff. Some systems are automatic so the computer will determine it should be debit. Any system that requires the cashier to hit a button to identify needs the explanation. I now find myself saying I'm paying with debit when I hand it over.

As for Cash/Debit being better than rewards VISA's. I disagree (unless your bad with credit). Retailers increase the price of goods to compensate for how much VISA/Mastercard charges them. You may as well use a free rewards card and try and get some of that back. (like a MBNA Smart Cash Mastercard).

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