Debit Giveaway
Even if a debit card was free and came with a credit of $5,000, you still shouldn't use it. That's what Consumers Union is telling organizers of a debit card giveaway.
The popular morning show, "Live! With Regis and Kathie Lee," has been featuring a promotion in which they give away a $5,000 MasterCard debit card. As we've printed in previous Green Sheets, debit cards don't require a PIN unless they're used at an ATM. Since only the signature is needed, a checking account could be quickly drained. The show's promotion has prompted Consumers Union, publisher of Consumer Reports, to ask them to reconsider the giveaway, citing the risk of fraud.
In a letter to the show, Consumers Union states, "We are writing to ask you to reconsider your show's participation in this promotion, because we don't think you may be aware of some of the dangerous problems these unsecured debit cards are causing for consumers."
Doug Rozman, a spokesman for MasterCard International, said debit cards are a "secure and reliable" method of payment, with fraud occurring in only 0.2% of all transactions.
