Monica Eaton Says Credit Protection More Comprehensive Than Debit
Chargebacks911®COO Monica Eaton, a global thought leader in the payments and finance space, recently offered her expertise for a new consumer advice piece for Fox Business.
The FOX Business Network is a national publication spotlighting key developments in business and finance. The channel is headquartered in New York, with correspondents stationed around the globe, reaching millions of readers and viewers every day.
Most consumers mistakenly assume that there’s little difference between a credit card and a debit card. But, as Monica explains in the piece, the fraud protections offered by each vary substantially. “If you get ripped off, a debit card offers extremely limited protection, and if you fail to catch a false charge quickly enough, you could literally lose every last penny in your bank account,” Monica says.
In the event of a fraud incident, US federal law limits a credit cardholder’s liability to a maximum of $50. With a debit card, however, that liability ceiling soars to $500 if the cardholder manages to notice the fraud within 60 days. Beyond that 60-day timeframe, the cardholder could be held liable for all losses. Thus, it’s in the consumer’s best interest to use credit over debit whenever possible.
“Credit cards protect you far more comprehensively. That's because credit cards are federally protected from the major fraud categories, but unfortunately, the same protections aren't extended to debit cards.”
