Cash is passé, credit cards involve credit limits and interest on credit, so here’s the convenient alternative. Once upon a time, cash was de riguer. However, inconvenience in handling led to the emergence of the credit card in the 1980s. A couple of snags still remained - you could spend only up to the pre-decided credit limit, credit approvals took time and there was a stiff interest of about 25% on credit after the due date for payment. So the debit card was born.
Benefits of a Debit Card

• A two-year old entity in the world of financial instruments, this piece of plastic is essentially a substitute for the cash that you have stored in your bank account. 
• When you use a debit card while purchasing an article, your bank account gets automatically debited for the amount you spend. 
• You are not buying on credit. Which means no credit limits, you can spend up to the last rupee in your account. 
• Moreover, there is no hidden danger of either purchasing beyond your income, or paying interest to the card company, since you are using only your available money. At the moment, debit cards issued by Citibank and HDFC Bank are gaining popularity. Centurion Bank and Bank of Punjab, too, have announced the launch of debit cards.

A quick look at national statistics, shows 4.9 lakh debit card users in India, with an average annual spend of Rs.16, 800, spread over 21 transactions. The figure for annual card sales stands currently at Rs.825 crores. Of course, this represents just about one-tenth of the market for credit cards, which have been around for almost two decades. The point to note is that since March this year spends on debit cards have gone up by 65%.

Given the phenomenal potential for growth, many more banks are expected to enter the market, implying tons of choice for the customer, in the very near future. So check out the options offered in the market and add this useful piece of plastic to your wallet soon!v

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