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I'm going to be attending college in a very very rural place. Because my mother works for a hospital, she can bank at a credit union and set me up with a checking account there as well. Problem is, the credit union doesn't have a branch anywhere near my college town. Also, while looking around the town I found very few places that had ATM's and they charged a lot to use them. Now I have a debit card but I heard that not all places accept debit cards. Being a rural town with a lot of independant stores i'm not too sure if they will accept a debit card. I got an application for the 1st Financial Bank of USA Student Credit Card. It has a limit of $250 and no interest if you don't go over $250. Would it be wise to take the credit card in case I need groceries or something and the local store won't take a debit card? I'm not sure how widely accepted debit cards are. Anyone know or have any advice?

By Jenniferelaine (Jenniferelaine) on Saturday, May 29, 2004 - 12:43 am: Edit

Debit cards are just as accepted as credit cards. Most debit cards that are bank-issued also have a credit card insignia on them, so you can use the debit card at any place that accepts that credit card. These are major credit cards, Visa, Mastercard, etc.

If it were me, I would not get a credit card solely for the fact that it would be money for me to spend that wasn't mine. I would be in danger of over-spending on the credit card without consulting my bank account to see how I'm going to pay for it.

By Trackstar (Trackstar) on Saturday, May 29, 2004 - 08:09 am: Edit

I went to school in a small town. I kept my checking account at home and used my debit card. When I needed cash, I went to the grocery store, bought something small (there's always something you need) and got cash back from my debit card. I think I only used an ATM about 2 or 3 times in 4 years. I used checks very rarely and transferred between my checking and savings accounts on-line.

By Cleveland (Cleveland) on Saturday, May 29, 2004 - 08:56 am: Edit

Trackstar---That may work for you, but where I live, the bank charges $1.50 every time you use your debit card; whether you use it for a 25 cent item or a $200 one, the charge is the same.

By Amethyst213 (Amethyst213) on Saturday, May 29, 2004 - 03:21 pm: Edit

You should look into another bank issued debit card. I have never heard of anyone who has a fee when they use the card to purchase an item at a store - even if they ask for "cash back". There is usually a fee for using the card at a bank ATM machine (if it is not a branch of your bank), but not to make a purchase.

By Matth (Matth) on Saturday, May 29, 2004 - 04:43 pm: Edit

If you're responsible with your money, then it's a good idea to get a student credit card with a low credit limit in order to establish a credit history. Use it wisely, for a few small purchases each month and pay it off totally when the bill comes. That's how you establish a credit rating which is invaluable when you graduate and you want to make larger purchases. A credit card is always good to have around for emergencies as well.

By Demingy (Demingy) on Sunday, May 30, 2004 - 12:10 pm: Edit

One note for those of you who are used to using your debit card as a credit card, with the recent legislation passed that allows businesses to NOT accept debit cards when they accept credit cards, some of the smaller businesses will be taking advantage of that.

The reason for this is that they were/are being charged more money when they accept a debit card as a credit card (even though it has the Mastercard or Visa insignia on it). There probably won't be too many large businesses that will change their acceptance of debit cards, but I wouldn't count on the smaller businesses.

***I'm not saying that debit cards aren't a good idea, but I did want to point out that there is the change and you COULD find your debit card being rejected at a place that accepts the corresponding credit card. Check with your bank though because there are a few that have set up their debit cards as credit cards (so there aren't the large fees), but this isn't too common.