A couple of weeks ago Google Wallet eliminated fees on debit card transactions. They now allow you to send money to other people, funded by debit card, and won’t charge you a fee to pull the money off your debit card.
After all, the Durbin Amendment drove down the cost of debit card transactions. (Which is also why banks have mostly gotten out of the game of rewarding those transactions, and have imposed more burdensome requirements for waiving account fees generally since having a checking account no longer correlates with making debit transactions that are profitable for banks).
Here’s what I see when going to make a payment:
Adam P. asked me about the usefulness of this yesterday. And since he was wondering, I thought others might be as well (or would be soon).
Google clarifies that while debit cards are free that only applies to some debit cards. Here’s the fee structure:
Unfortunately none of the gift cards that I’ve wanted to turn into cash recognized as fee-free debit cards (even those that are PIN-eligible).
And my Suntrust Delta debit card was treated as a credit card meaning it would incur a fee.
- So far it looks like Paypal Business Debit Card, T-Mobile, TD Go, and USBuxx all code as though they’re credit cards and thus appear as though they will incur a transaction fee.
Please do let me know if you find a card that works, incurring no fee, that’s useful!