Why Associations Should Avoid Debit Cards

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Banks are pushing debit cards more and more lately, and there's good reason for that: they generate fees for the banks without the liability of fronting users the funds.  The cash comes right out of your bank account and the bank collects an easy percentage on your purchase at the expense of the merchant.  Debit cards, particularly those with a Visa or MasterCard logo on the front, may be a convenient way for users to access cash in their bank accounts, but they are NOT ideal for condominium association accounts.

Convenient, easy access to cash.  Great for individuals, potentially devastating for a condo association.

A lost card can easily be used by the wrong person to drain an association bank account.  A card held by an unethical or criminal Board member can be used indiscriminately for unapproved expenses or personal use.  While owners may not want to believe Board theft happens, HausFS knows that it is a reality. Further, no member should have the right to make purchases that have not been specifically approved at a prior Board meeting.

Association funds belong to ALL owners.  Don't make them an easy target.  Ditch the debit.