UK Bank Reinvents Debit Card
This entry was posted on 7/6/2007 1:19 PM and is filed under Debit Card.
July 2, 2007: Cater Allen, one of the UK's oldest and most prestigious private banks,
announces the VISA Deferred-Debit card.
With the VISA Deferred-Debit Card customers will continue to earn interest on the balance in their account
until their statement date, even on their debit transactions.
When the debit card is used, the transaction is listed as pending leaving the account balance unchanged for purposes of calculating interest earned on average daily balances. The transactions are not
applied to the account until the statement date. Ccustomers could earn potentially up to 30 days
interest on funds which they have already spent using their Card.
To qualify, customers need to hold an average account balance of £5,000
(or a euro or US Dollar equivalent) for the six months preceding the
application. The VISA deferral does not apply to cash withdrawals.
Deferred-debit cards are also treated as credit cards under the VISA
transaction system and therefore some retailers/ service providers may
charge a levy on transactions.
If at least 50 per cent of the cost of a holiday is paid using the Visa
Deferred-Debit Card, Cater Allen offers free personal accident cover up
to £250,000 when traveling abroad, through International SOS(2).
The Deferred-Debit Card is available as a US Dollar denominated card
and a euro denominated card, for those who regularly transact in either
US Dollars or Euros. In order to qualify for these cards, clients need
to set up a US Dollar or Euro Private Bank Account, or Reserve. Customers need to hold an average balance of $10,000 or €10,000 respectively in
these accounts for six months preceding the application.
