Debit card swipes hit credit card usage

July 2011 marks a tipping point in the payments space. For the first time, debit cards have been used in more transactions than credit cards. While credit cards are still more significant in value terms, the gap between the two has shrunk.
As compared to 2.56 crore credit card transactions in July 2011, debit cards were used 2.66 crore times. This has continued in August when credit cards were used 2.76 crore times, while debit was used on 2.77 crore occasions. In the past, credit card swipes always outstripped that of debit. In the whole of 2010-11, credit cards were used for 26.51 crore payments, while debit cards were used 23.7 crore times.
In value terms credit card payments accounted for Rs 37,678 crore worth of payments up to August 2011, while for debit cards it was Rs 20,483 crore. Total value of debit card transaction is lower than that of credit cards is because on an average an individual spends Rs 2,989 every time the card is used as compared to Rs 1,632 which is the average for a debit card payment. Click to know more and apply for SME Loan
Bankers say that it is only a matter of time before debit cards completely dominate the payment space. The reason for this is the sheer numbers. Debit cards have been growing by leaps and bounds. From 4.97 crore cards in 2005-06, their number has risen to 25.14 crore as on August 2011, according to data released by the Reserve Bank of India in its latest monthly bulletin. Credit cards, on the other hand, have been shrinking since the global crisis. From a peak of 2.8 crore in 2008, the number shrunk to 1.8 crore in March 2011. This has come down further to 1.75 crore in October 2011.
The decline has been largely because of the foreign banks and banks like ICICI which have been shrinking their portfolio. According to industry sources, ICICI Bank's card portfolio has continued to shrink during the current year as well. While other lenders such as HDFC Bank and Axis Bank have started issuing cards at a much higher pace, the issuances are not enough to bring up the overall industry numbers.
While debit cards have seen growth in issuances, cardholders have not been using them for transactions. In 2010-11, the average transaction per card has been 14. As compared to this, the average debit card has been used only once in a year. While the number of debit cards has gone up more than five times in five years the average number of transactions has not.
Even five years back the debit card usage was on an average just once in a year.
Credit cards, on the other hand, are seeing an increase in usage. At the time of the global financial crisis, the average usage of cards had dipped to eight times in a year. At the end of March 2011, this had improved to 14. Bankers say that this is because issuers have become choosy on issuing cards. Second, multiple card holdings have come down as even cardholders are realizing that it makes more sense to consolidate purchases in one card in terms of rewards.

Prevent fake transaction dual factor confirmation

Every time your bank asks for an additional password to authenticate your credit card transaction, you may feel a little irritated, since it takes effort to remember and type the extra words to complete the transaction.
But this extra layer of authentication actually prevents the misuse of your credit card, especially through online transactions. The dual-factor authentication process allows debit and credit card customers to validate their identity without using data visible on the card. As a result, banks and payment portals can check if the transaction is genuine or counterfeit in nature.
However, like any routine banking transaction, you have to enter thelog-inidandthepassword before this. The rationale is that a hacker cannot get access tothecustomer'suserid, password and mobile phone simultaneously. Itisalsoconvenientasa mobile phone is an extended arm for most individuals. Two-factor authentication is a broad term and can be implemented in multiple ways.
Banks could use mobile phone or a grid or a scrambled key chain as an additional security measure for net banking. For net banking, however, banks ask for the additional authentication only if an individual has to transfer money for third-party transactions.
For example, you may transfer money to your child or parents on a monthly basis. If you register them as beneficiaries, you don't have to go through the additional authentication . These transactions are low risk in nature as the hacker will only transfer money to himself and not to any of these registered beneficiaries . For credit cards, Visa and MasterCard have introduced an additional password, which is mandatory for any online transaction. The password can be set by the customer and changed at his/her convenience.
The scope for a fraudulent transaction is higher as all a hacker needs is the credit card number, the expiry date and the CVV number which are mentioned in the card itself. As per RBI's stipulations , all banks have to follow the dual factor authentication model for credit card transactions.
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Credit card transactions spike in January

Transactions worth Rs. 6,934.65 crore were carried out in India through credit card in January, 2011, growth of 27.82 % from that in the same period last year.
Credit card transactions during January, 2010 were at Rs. 5,425.51 crore, according to the RBI data.
The number of credit cards in circulation have, however, declined by over 10 % to 1.81 crore as on January 31, 2011, from 2.02 crore in the same period last year.
During the April-January period of the fiscal, the total transactions carried out via credit cards increased 21.78 % to Rs. 62,335.44 crore as against Rs. 51,188.94 crore in the April-January period of 2010-11.
Meanwhile, debit card transactions in January were up by 49.04 % to Rs. 3,712.67 crore, as against Rs. 2,491 crore in the corresponding month last year.
There were 21.82 crore debit cards in use in the country as on January 31, 2011, up over 25 % over the figure of 17.41 crore in the year-ago period.
In April-January period, the total transactions carried out by debit cards jumped by 47.06 %, to Rs. 32,029.24 crore, from Rs. 21,779.83 crore in the first 10 months of the last fiscal.

Debit Card Offers for the Month of March 2010

Click on Link for knowing More about the Debit cards Offers from Various banks Visit: - Debit Cards Offers
AbnAmro Bank Debit Card offers
1) International Debit Card
Reward Points Offers :
•           Earn 2 Royalty points (equal to Re.1) on retail spends of Rs.100.
•           Earn 5 Royalty points (equal to Rs.2.50) on fuel spends of Rs.100.
•           Redeem rewards (minimum 500 points) as cash through a phone call to the bank
2) Air India AbnAmro Debit Cards
Travel Offers :
•           10% discount on all Air India Domestic and International Flights.
•           Discounts extended to 3 companions too.
•           2 Free Upgrade voucher to Business Class.
Reward Points Offers :
•           200 Bonus Royalty points (worth Rs.100).
•           2 royalty points (=Re.1) on every Rs.100 spends on Retail.
•           5 Royalty points (=Rs.2.50) on every Rs.100 spends on Fuel
3) Gold Debit Card
Reward Points Offers :
•           Earn 3 royalty points (=Rs.1.50) on retail spends of Rs.100.
•           Earn 5 Royalty points (equal to Rs.2.50) on fuel spends of Rs.100.
•           Earn bonus Royalty points for using ATMs, Net Banking, Making utility bill payments etc.
•           Redeem rewards (minimum 500 points) as cash through a phone call to the bank.
4) Van Gogh Preferred Banking Gold Card
Travel Offers :
•           10% discount on Duty Free purchases at Flemingo duty free outlets pan India and on board Jet Airways, Air India and Kingfisher Airlines.
Reward Points Offers :
•           Get 3 royalty points (=Rs.1.5) on every Rs.100 spends on Retail.
•           5 Royalty points (=Rs.2.50) on every Rs.100 spends on Fuel.
Other Offers :
•           Discounts and special access to 15 premier Golf Courses.
5) Premium Debit Card
Travel Offers :
•           10% discount on Duty Free purchases at Flemingo duty free outlets pan India and on board Jet Airways, Air India and Kingfisher Airlines.
Reward Points Offers :
•           Earn 2 Royalty points for Retail Spends of Rs. 100(equal to Re. 1)
•           Earn 5 Royalty points for Fuel Spends of Rs. 100 (equal to Rs. 2.50).
Other Offers :
•           Get discounts and special access to 15 premium Golf Courses.
Axis Bank Debit Card Offers
1) Priority Debit Card
Dinning Offer :
•           Get 10% discount on bills above Rs.250 (without tax) at Nirulas(offer valid till 31 Aug 2010)
•           Get flat 15% off on Pizzas & Garlic Breads at Dominos(offer valid till 31 August 2010).
•           Enjoy mouth watering Pizza and Pastas at Pizza Hut and enjoy the meal.
•           1) King Size Meals with Pastas
•           a) Feast for 2-Any 2 Pastas, 1 portion of Garlic Bread or Tortilla and 2 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.415/0
•           b) Feast for 4-Any 4 Pastas, 2 portions of Garlic bread or Tortilla and 4 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.799.
•           c) Feast for 6-Any 6 Pastas, 3 portions of Garlic bread or Tortilla and 6 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.1105.
•           2) King Size Meals with Pizzas
•           a) Feast For 2-Any 1 medium pizza, 1 portion of Garlic Bread or Tortilla and 2 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.395.
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•           b) Feast For 3- Any 2 medium pizzas, 2 portions of Garlic bread or Tortilla and 4 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.750.
•           c) Feast For 6-Any 3 medium pizzas, 3 portions of Garlic bread or Tortilla and 6 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.1080.
•           (Offer valid till 30 December 2010).
Shopping Offers :
•           Get 15% discount on total bill at Vimal(offer valid till 31 Aug 2010)
•           In exchange of old Denim Jeans/Jacket (any brand, on any size),buy Levis Strauss worth Rs.2,999 and take Rs.500 off on the total bill and on purchase of Rs.5,999 get Rs.1,200 off on the total bill.(offer valid till 31 Mar 2010).
•           On purchase of above Rs.10,000 from Diti Jewellery get Rs.1000 gift voucher.(offer valid till 31 May 2010)
Entertainment Offers :
•           Get a free ticket for a companion on PVR Cinema tickets booked online on pvrcinemas.com (offer valid till 31 March 2010).
Travel Offers :
•           Get 10% off on hotels and holiday packages booked on TravelGuru (offer valid till 31 March 2010)
Petrol Offers :
•           Zero surcharge on fuel purchase.
Reward Points Offers :
•           Redeem reward points in charity, dinning, electronics, gift voucher, home, kids, lifestyle, magazines and personal.
Other Offers :
•           15% discount on Diagnostic at The Apollo Clinics.(till 31st March 2010).
2) Classic Debit Card
Dinning Offer :
•           Get 15% discount on total bill at Vimal(offer valid till 31 Aug 2010)
•           Get 10% discount on bills above Rs.250 (without tax) at Nirulas(offer valid till 31 Aug 2010)
•           Get flat 15% off on Pizzas & Garlic Breads at Dominos(offer valid till 31 August 2010).
•           Enjoy mouth watering Pizza and Pastas at Pizza Hut and enjoy the meal.
•           1) King Size Meals with Pastas
•           a) Feast for 2-Any 2 Pastas, 1 portion of Garlic Bread or Tortilla and 2 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.415/0
•           b) Feast for 4-Any 4 Pastas, 2 portions of Garlic bread or Tortilla and 4 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.799.
•           c) Feast for 6-Any 6 Pastas, 3 portions of Garlic bread or Tortilla and 6 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.1105.
•           2) King Size Meals with Pizzas
•           a) Feast For 2-Any 1 medium pizza, 1 portion of Garlic Bread or Tortilla and 2 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.395.
•
•           b) Feast For 3- Any 2 medium pizzas, 2 portions of Garlic bread or Tortilla and 4 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.750.
•           c) Feast For 6-Any 3 medium pizzas, 3 portions of Garlic bread or Tortilla and 6 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.1080.
•           (Offer valid till 30 December 2010).
Shopping Offers :
•           In exchange of old Denim Jeans/Jacket (any brand, on any size),buy Levis Strauss worth Rs.2,999 and take Rs.500 off on the total bill and on purchase of Rs.5,999 get Rs.1,200 off on the total bill.(offer valid till 31 Mar 2010).
•           On purchase of above Rs.10,000 from Diti Jewellery get Rs.1000 gift voucher.(offer valid till 31 May 2010)
Travel Offers :
•           Get 10% off on hotels and holiday packages booked on TravelGuru (offer valid till 31 March 2010)
Other Offers :
•           15% discount on Diagnostic at The Apollo Clinics.(till 31st March 2010).
3) Gold Debit Card
Dinning Offer :
•           Get 10% discount on bills above Rs.250 (without tax) at Nirulas(offer valid till 31 Aug 2010)
•           Get flat 15% off on Pizzas & Garlic Breads at Dominos(offer valid till 31 August 2010).
•           Enjoy mouth watering Pizza and Pastas at Pizza Hut and enjoy the meal.
•           1) King Size Meals with Pastas
•           a) Feast for 2-Any 2 Pastas, 1 portion of Garlic Bread or Tortilla and 2 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.415/0
•           b) Feast for 4-Any 4 Pastas, 2 portions of Garlic bread or Tortilla and 4 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.799.
•           c) Feast for 6-Any 6 Pastas, 3 portions of Garlic bread or Tortilla and 6 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.1105.
•           2) King Size Meals with Pizzas
•           a) Feast For 2-Any 1 medium pizza, 1 portion of Garlic Bread or Tortilla and 2 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.395.
•
•           b) Feast For 3- Any 2 medium pizzas, 2 portions of Garlic bread or Tortilla and 4 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.750.
•           c) Feast For 6-Any 3 medium pizzas, 3 portions of Garlic bread or Tortilla and 6 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.1080.
•           (Offer valid till 30 December 2010).
Shopping Offers :
•           Get 15% discount on total bill at Vimal(offer valid till 31 Aug 2010)
•           In exchange of old Denim Jeans/Jacket (any brand, on any size),buy Levis Strauss worth Rs.2,999 and take Rs.500 off on the total bill and on purchase of Rs.5,999 get Rs.1,200 off on the total bill.(offer valid till 31 Mar 2010).
•           On purchase of above Rs.10,000 from Diti Jewellery get Rs.1000 gift voucher.(offer valid till 31 May 2010)
•           Tanishq offers 6% off on diamond jewellery and 15% off on making charges of plain gold jewellery.(till 31st May 2010
Travel Offers :
•           Get 10% off on hotels and holiday packages booked on TravelGuru (offer valid till 31 March 2010)
Petrol Offers :
•           Zero surcharge on fuel purchase.
Reward Points Offers :
•           Redeem reward points in charity, dinning, electronics, gift voucher, home, kids, Lifestyle, magazines and personal.
Other Offers :
•           15% discount on Diagnostic at The Apollo Clinics.(till 31st March 2010).
4) Business Gold Debit Card
Dinning Offer :
•           Get 10% discount on bills above Rs.250 (without tax) at Nirulas(offer valid till 31 Aug 2010)
•           Get flat 15% off on Pizzas & Garlic Breads at Dominos(offer valid till 31 August 2010).
•           Enjoy mouth watering Pizza and Pastas at Pizza Hut and enjoy the meal.
•           1) King Size Meals with Pastas
•           a) Feast for 2-Any 2 Pastas, 1 portion of Garlic Bread or Tortilla and 2 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.415/0
•           b) Feast for 4-Any 4 Pastas, 2 portions of Garlic bread or Tortilla and 4 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.799.
•           c) Feast for 6-Any 6 Pastas, 3 portions of Garlic bread or Tortilla and 6 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.1105.
•           2) King Size Meals with Pizzas
•           a) Feast For 2-Any 1 medium pizza, 1 portion of Garlic Bread or Tortilla and 2 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.395.
•
•           b) Feast For 3- Any 2 medium pizzas, 2 portions of Garlic bread or Tortilla and 4 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.750.
•           c) Feast For 6-Any 3 medium pizzas, 3 portions of Garlic bread or Tortilla and 6 glasses of Pepsi/ 7 Up/ Mirinda/ Lemonade/ Iced Tea @ Rs.1080.
•           (Offer valid till 30 December 2010).
Shopping Offers :
•           Get 15% discount on total bill at Vimal(offer valid till 31 Aug 2010)
•           In exchange of old Denim Jeans/Jacket (any brand, on any size),buy Levis Strauss worth Rs.2,999 and take Rs.500 off on the total bill and on purchase of Rs.5,999 get Rs.1,200 off on the total bill.(offer valid till 31 Mar 2010).
•           On purchase of above Rs.10,000 from Diti Jewellery get Rs.1000 gift voucher.(offer valid till 31 May 2010)
Travel Offers :
•           Get 10% off on hotels and holiday packages booked on TravelGuru (offer valid till 31 March 2010)
Petrol Offers :
•           Zero surcharge on fuel purchase.
Reward Points Offers :
•           Redeem reward points in charity, dinning, electronics, gift voucher, home, kids, Lifestyle, magazines and personal.
Other Offers :
•           15% discount on Diagnostic at The Apollo Clinics. (till 31st March 2010).
From: www.deal4loans.com
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