Warning regarding Tesco Bank Debit Cards

WillPS

Tesco Bank assigns your account either an 'online only' or an 'online and offline' card when you open an account with them. Nothing wrong with that, quite normal.

What I've learned today is that there is no way at all of moving from an 'online only' debit card to an 'online and offline' debit card without closing down your account completely and then applying for a new account and see what they give you. A complaint has returned the same advice.

I've not been issued with an online-only card since the Solo card Natwest gave me when I was 13, but my understanding is most banks will consider changing your card to an offline-capable card so long as the account offers one. Certainly Natwest had no problem changing the Solo to a full-on Maestro card once I'd turned 18 without having to close the account and reapply.

It's hard to know for sure - but my credit report is quite good so I would be surprised if this motivated the decision to issue an online-only card. I was offered (but refused) a formal overdraft facility, which might have something to do with it.

Worth bearing in mind if you had intended to use the account as your main account (as I currently do) - I'd hoped to move most of my fuel spend to the card to maximise on the extra Clubcard points offered but without pay@pump that is cumbersome and sometimes impossible.

Shakin_Steve

This is all news to me. Never heard of an online only debit card.

SnowTiger

Shakin_Steve wrote: »

This is all news to me. Never heard of an online only debit card.

In this context, online means that every debt card transaction must be authorised by the issuer.

Kim_13

This is taken from the terms booklet on their website, which I take to be the section on 'online cards.' It's from the oldest one, but I haven't heard of any changes in this regard so I assume it's in the others too.

Are there any restrictions on where I can use my card?

Your card will always come with contactless functionality, but depending on your financial circumstances, you may be given a card where the seller will attempt to check you have enough money in your account at the time you are using the card. If this check can’t happen, the transaction could be declined. You’ll know if you have this card, because the seventh digit of the long number across the middle of the card will be a 5.

Regardless of the card you receive at account opening, we may re issue you with this card. This will be based on your financial circumstances and how you use your account. We may do this at any time before the expiry of your old card.

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Strange that they are able downgrade the card if they deem you more of a risk than they did at account opening (which I don't disagree with), but it doesn't work the same way if you have improved.

TrustyOven

Kim_13 wrote: »

This is taken from the terms booklet on their website, which I take to be the section on 'online cards.' It's from the oldest one, but I haven't heard of any changes in this regard so I assume it's in the others too.

Are there any restrictions on where I can use my card?

Your card will always come with contactless functionality, but depending on your financial circumstances, you may be given a card where the seller will attempt to check you have enough money in your account at the time you are using the card. If this check can’t happen, the transaction could be declined. You’ll know if you have this card, because the seventh digit of the long number across the middle of the card will be a 5.

Regardless of the card you receive at account opening, we may re issue you with this card. This will be based on your financial circumstances and how you use your account. We may do this at any time before the expiry of your old card.

So is this something that affects:
a) only contactless, because of the highlighted (therefore chip and pin always works fine)
OR
b) contactless has no online/offline restriction, but chip and pin has this restriction?

WillPS

I'm not sure. It used to be that contactless was always permitted online/offline regardless of the restriction on chip and PIN, but I know there is an online-only contactless spec now - don't know if it's in use.

20aday

Aren't we meant to be moving to an 'online only' authorisation with contactless payments in light of the recent news where people have had their cards lost/stolen and transactions have still been made after it's been reported as such?

My Tesco Bank Debit Card is also online only; was hoping to use it to collect Clubcard points only at the PFS in Ilkeston (it's unmanned) but you can't even do that- whereas you can abort the process and choose another card like you can with their Clubcard credit cards.

stclair

Contactless cards can be forced to seek authorisation now.

Just like the cards issued on Barclays, nationwide and virgin money basic accounts.

colsten

Just get another current account, at Tesco or elsewhere. If you switch your existing account to another bank, they might even pay you for doing so. There's no guarantee you will be given an offline card though.

agrinnall

Shakin_Steve wrote: »

This is all news to me. Never heard of an online only debit card.

Spend a bit more time reading posts on this board and the credit card board then, it's a subject that's discussed very often.

System

Having an online card doesn't (in itself) preclude using pay at pump.

Some banks (e.g. RBS) choose to disable that facility as well on their online cards. Some don't.