We value our editorial independence, basing our comparison results, content and reviews on objective analysis without bias. But we may receive compensation when you click links on our site. Learn more about how we make money from our partners.
Checking accounts and debit cards work together, but they’re actually two separate products. While they both allow you to manage your money and make transactions, there are a few differences that set them apart.
What’s the difference between checking accounts and debit cards?
Many checking accounts offer an accompanying debit card to access funds. Though some savings accounts also offers debit cards, and digital-only banks or mobile apps are increasingly offering debit cards linked to their account or service. Ultimately, a debit card is dependent on another source for the funds it accesses.
|Checking account||Debit card|
|About||Unlimited access to your money through deposits, withdrawals, checks, bill pay service and an optional debit card.||Payment card linked to a financial account used to withdraw cash at ATMs or swipe for payments at retailers or online.|
|ATM access||Via debit card||Yes|
|FDIC insurance||Yes||Depends on the account it’s linked to|
|Monthly fees||Varies by bank||No|
|Point of sale purchases||Yes with debit card||Yes|
|Online transactions||Yes||Varies by bank|
Isn’t a debit card a checking account?
No. Checking accounts are a place to store money for everyday transactions separately from your savings. Debit cards are tools to access the money in linked accounts through ATM withdrawals and point-of-sale transactions.
Pros and cons of checking vs. debit cards
Checking and savings accounts are both helpful banking products, but they each have their pros and cons:
- Security. Checking accounts allow you to deposit money to be kept safe inside the account. Plus, most of them are insured for up to $250,000 by the FDIC.
- Account features.Many checking accounts offer features like rewards programs, money management tools, overdraft protection and more.
- Transfer money. Checking accounts allow you to write checks and transfer money to other accounts online or by phone.
- Potential fees. Many checking accounts charge monthly fees that could eat into your balance.
- Minimum balance requirements. Some checking accounts require that you keep a certain amount in your account to avoid fees.
- Limited point-of-sale purchases. Unless the retailer accepts checks, you won’t be able to make point-of-sale purchases at retailers without a debit card.
- ATM access. Debit cards allow you to withdraw cash from ATMs whenever you need it.
- Point of sale transactions. With a debit card, you can make purchases online and at retailers.
- No monthly fees. While you could be charged ATM fees, there are usually no monthly fees to own a debit card.
- Must be linked. Unless you have a prepaid debit card, you’ll need to link your debit card to another account to make purchases and withdrawals.
- No deposits or account features. Debit cards are not accounts, so you won’t get any account features and won’t be able to make deposits.
- Can’t transfer money. Cash withdrawals and POS transactions are the only way to access money with a debit card. If you want to make transfers, you’ll need to use an account.
Compare accounts with debit cards
How to compare checking accounts and debit cards
These products are best used together, but here are some important factors you should think about if you’re considering one over the other:
- Features. Checking accounts often come with useful features, whereas debit cards do not.
- Access. Checking accounts allow you to write checks, make online purchases and transfer money. Debit cards can only be used to withdraw cash and make purchases online or at stores.
- Fees. Checking accounts have monthly fees and other charges that could eat into your balance. Other than ATM fees that are charged to the linked account, debit cards do not.
- Security. Checking accounts are eligible for FDIC deposit insurance, whereas debit cards are not.
- Deposits. Checking accounts allow you to deposit money and manage funds. You won’t be able to store money with a debit card.
Standalone checking accounts can help you store and manage your money while allowing you to make transfers and online purchases. Debit cards can be used to withdraw cash and make point-of-sale transactions.
Compare your options to find checking accounts or debit cards that fit your needs.
Frequently asked questions
Ask an Expert