> "I have a hard time seeing how debit cards are worse than credit cards."
In the US, debit cards are generally also credit cards. They can be processed exactly like a credit card, without a pin number, without a second glance at the signature usually, and the money comes out of the associated checking account.
So instead of a fraudulent charge just being a line item on a statement until your card issuer can prove that it isn't fraudulent - it represents actual missing money from your checking account, until you can convince the bank that the charges are fraudulent
I had a debit card compromised in one of the regional card processer hackings and had $1500 [1] of my money tied up until the bank reversed the charges and gave it back. They took 12 business days. That was not cool.
[1] Three $500 purchases of flowers, 10 states away from where I live, each 1 hour apart. How does that not look suspicious? I get a phone call from the same bank almost every time I travel after the first time I use my credit card for a nontrivial purchase. They sanity-check that I really am halfway across the country. That is awesome. That also represents their money being protected from fraud. Apparently, when it comes to protecting my money from fraud, they're not so motivated.
In the US, debit cards are generally also credit cards. They can be processed exactly like a credit card, without a pin number, without a second glance at the signature usually, and the money comes out of the associated checking account.
So instead of a fraudulent charge just being a line item on a statement until your card issuer can prove that it isn't fraudulent - it represents actual missing money from your checking account, until you can convince the bank that the charges are fraudulent
I had a debit card compromised in one of the regional card processer hackings and had $1500 [1] of my money tied up until the bank reversed the charges and gave it back. They took 12 business days. That was not cool.
[1] Three $500 purchases of flowers, 10 states away from where I live, each 1 hour apart. How does that not look suspicious? I get a phone call from the same bank almost every time I travel after the first time I use my credit card for a nontrivial purchase. They sanity-check that I really am halfway across the country. That is awesome. That also represents their money being protected from fraud. Apparently, when it comes to protecting my money from fraud, they're not so motivated.