Personal Finance

Scotiabank to launch VISA Debit in April 2014

  • Last Updated:
  • Jul 24th, 2014 2:41 am
[OP]
Newbie
Jun 22, 2012
22 posts
6 upvotes
Toronto

Scotiabank to launch VISA Debit in April 2014

I was in my local Scotiabank branch today, and overheard the ladies talking about how Scotiabank is set to launch VISA Debit in April 2014. This should be interesting especially with the launch of Tangerine on April 8th, 2014. (and I've read on Facebook comments on the ING Direct Canada page that they do not yet have plans for a VISA Debit card, but who knows!

And yes, for some, VISA credit cards make more sense, but for a lot of people who like to view immediate transaction information, VISA Debit is a nice feature.

Just thought I would share the news. Though, I can't confirm it 100% yet.
58 replies
Sr. Member
Dec 26, 2013
668 posts
58 upvotes
What are you talking about immediate transaction information? I have that with my credit cards.

Visa debit only makes sense for teenagers who can't borrow yet, unemployed people or those completely unable to handle credit. Otherwise, rewards!
Member
Mar 31, 2013
396 posts
84 upvotes
Toronto
What benefit does Visa Debit actually give anyone? Is it just for people too young to get a credit cards (or with bad credit history) so they are able to buy stuff where only credit cards are accepted?

You mentioned in OP about immediate transaction info. Interac does this right now so I don't understand the difference I guess.
Member
Jan 11, 2014
206 posts
46 upvotes
One drawback of a VISA Debit card is, when the VISA Debit card number is compromised, the money in the bank account is at risk.

Some banks do show immediate transaction information, for example, Royal Bank, Capital One, MBNA etc
[OP]
Newbie
Jun 22, 2012
22 posts
6 upvotes
Toronto
K1Toronto wrote:
Mar 4th, 2014 9:41 pm
You mentioned in OP about immediate transaction info. Interac does this right now so I don't understand the difference I guess.
Fair, I was mainly comparing the VISA network functionality between credit card issuers who don't post authorizations (i.e. most major banks except RBC). There are others that do as well (cap one, MBNA, Chase etc), but all they do is cards, not banking services. I prefer to keep all my transaction accounts with one Bank. Just a preference I guess.
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Apr 11, 2006
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Codebossman wrote:
Mar 4th, 2014 9:47 pm
Fair, I was mainly comparing the VISA network functionality between credit card issuers who don't post authorizations (i.e. most major banks except RBC). There are others that do as well (cap one, MBNA, Chase etc), but all they do is cards, not banking services. I prefer to keep all my transaction accounts with one Bank. Just a preference I guess.
That's fine, but you still have to have two cards - a Visa Debit card and a Visa Credit card...instead of an Interac Debit card and a Visa Credit card. No difference.

Edit: Actually, I stand corrected, you have to have an Interact Debit card (bank card) regardless because you need to withdraw money from ATM (or can you do that with Visa Debit card?).
[OP]
Newbie
Jun 22, 2012
22 posts
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Toronto
kenchau wrote:
Mar 4th, 2014 9:53 pm
Edit: Actually, I stand corrected, you have to have an Interact Debit card (bank card) regardless because you need to withdraw money from ATM (or can you do that with Visa Debit card?).
In Canada it is a co-branded card - meaning it will be both an Interac Debit card for use in Canada, and a VISA Debit card for use internationally, and online. TD and CIBC already offer this type of card, where as RBC offers a truly useless separate "virtual" VISA Debit card for online use only. So with RBC you have three cards, your Client Card, Virtual VISA Debit, and your VISA/MasterCard Credit card.
Sr. Member
Dec 26, 2013
668 posts
58 upvotes
Codebossman wrote:
Mar 4th, 2014 10:18 pm
In Canada it is a co-branded card - meaning it will be both an Interac Debit card for use in Canada, and a VISA Debit card for use internationally, and online. TD and CIBC already offer this type of card, where as RBC offers a truly useless separate "virtual" VISA Debit card for online use only. So with RBC you have three cards, your Client Card, Virtual VISA Debit, and your VISA/MasterCard Credit card.
I'm not convinced. Why would you ever want a visa debit card internationally? Credit cards are so much better.

And why exactly do you need instant updates on your purchases? Like you don't know what you spend? Or are you simply irrational about fraud?
[OP]
Newbie
Jun 22, 2012
22 posts
6 upvotes
Toronto
Mindfulmonkey wrote:
Mar 4th, 2014 10:23 pm
And why exactly do you need instant updates on your purchases? Like you don't know what you spend? Or are you simply irrational about fraud?
Lets flip the question for a second and ask, "why does it take three days to show posted transactions in the first place?" (yes, the available limit shrinks immediately, and that would make sense) but I am simply advocating for more transparancy for those who may be less financially literate than the average RFD PF Forum user. I think there is a great advantage to seeing what exactly one owes up to the minute. And I think it is naive to think the current methodology is better... unless you're the bank that is. The average person will keep spending when they do not see a balance growing as soon as they make a transaction. For the most part, it is purposefully designed this way to entice the cardholder to spend more per month on their credit card. Instant authorization tracking is a value-added feature for sure, and I applaud the CC issuers who already do it. Hopefully there will be more in the future.

And for clarification, I currently use the TDFCI VISA Card, with waived annual fee with AI (SS) Account. And naturally pay in full every month, but it would be nice to see up to the minute transaction information like RBC, Cap One, MBNA, and Chase.
Sr. Member
Dec 26, 2013
668 posts
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Does not explain the need for a visa debit.

People are stupid. I will give you that. However, ignorance about money does not excuse financial responsibility. Someone who is going to be checking balances cares enough to know they've spent money anyway.

The big bad bank isn't posting transactions quick enough to trick the masses into spending though really? Next it will be the banks fault Canadians have so much debts. I'm laughing then again, like we agreed certain people are stupid. I have no problem giving you that.
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kenchau wrote:
Mar 4th, 2014 9:53 pm
That's fine, but you still have to have two cards - a Visa Debit card and a Visa Credit card...instead of an Interac Debit card and a Visa Credit card. No difference.

Edit: Actually, I stand corrected, you have to have an Interact Debit card (bank card) regardless because you need to withdraw money from ATM (or can you do that with Visa Debit card?).
Visa Debit is the same as the current interac card. Any transactions done come directly out of whatever bank account is attached to that card. The only real difference is that it allows an individual to do online purchases if need be.
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Mindfulmonkey wrote:
Mar 4th, 2014 9:38 pm
What are you talking about immediate transaction information? I have that with my credit cards.

Visa debit only makes sense for teenagers who can't borrow yet, unemployed people or those completely unable to handle credit. Otherwise, rewards!
Unfortunately that describes a lot of people in Canada. Especially as credit quality continues to deteriorate.
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Oct 16th, 2012 9:06 pm
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While you can use your visa debit online for US/International retailers with (generally) no hassle, the situation for Canadian retailers are not quite as rosy.

Only those retailers opted to accept Visa Debit in Canada can process the transaction, thus, resulting in cards being unexpectedly declined. Quite a number of CIBC, TD and RBC clients with their cards learnt that lesson.

http://www.visa.ca/en/personal/visa-deb ... chants.jsp
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Mindfulmonkey wrote:
Mar 4th, 2014 10:23 pm
I'm not convinced. Why would you ever want a visa debit card internationally? Credit cards are so much better.

And why exactly do you need instant updates on your purchases? Like you don't know what you spend? Or are you simply irrational about fraud?
Because in Europe, many select merchants choose to levy a significant surcharge for using a credit card so you're left with using a Visa/MasterCard Debit card to save money. We're talking a surcharge of 10+% depending on what you're buying.

Actually, you do get almost instant updates on your transactions (at least on CIBC) because the funds come straight out of your account. Knowing about authorizations is nice, but it confuses people who don't know what they're looking at and therefore not provided by most credit card providers because it tends to confuse customers. Eg. "Why is there a random $0.01 charge on my account?" "Why does this show $50 when my purchase should've only cost $35??!"
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