- On 1 May 2012 we updated this article to avoid confusion with credit cards
- On 23 July 2012 we made changes about credit card rewards points, which you can sometimes earn even with a positive balance.
Planning to spend a day hitting the shops? Are you doing it without a credit card? When you’re spending your own money, make sure you understand how the daily limit on your debit card works, and learn the ways to get around it when you need to.
Whether you have a Visa Debit card (which uses your own money from your day to day bank account where the Visa sign is displayed) or just a normal debit card for ATMs and EFTPOS, this advice is for you.
What is a daily limit?
When you shop with the “savings” or “cheque” buttons on EFTPOS, or get cash out at an ATM, everything that comes out of your account goes towards your daily limit. Once you’ve reached your daily limit, we block your card until tomorrow. This helps us protect you if someone else gets a hold of your debit card.
In most cases, our normal daily limits are $1,000 for most debit cards, and $2,000 for NAB Gold Visa Debit cards.
We know that these limits can sometimes be a pain when all you want to do is get a hold of more of your own money. There are a few things you can do, though.
Plan ahead by getting cash out early
If you know you’re going to be spending a lot of money on Saturday, and you’re comfortable carrying some of it as cash, visit an ATM on Thursday or Friday and get some money out in advance. That way your withdrawal won’t count towards your daily limit on Saturday.
If you use up your limit on Saturday and still need some extra cash to go out clubbing Saturday night, you can take money out after midnight on Saturday night and this will count towards your Sunday daily limit.
Using a Visa Debit card? Press “credit”
If you press “credit” when you shop with a Visa Debit card, it doesn’t count towards your daily limit. (That’s because the purchase goes through the Visa network, even though you’re spending your own money.)
So if you’re shopping with a Visa Debit card, remember to press “credit” when you’re making your big purchases.
Got more than one card that can access your account? That means you’ve got more than one daily limit
Daily limits apply to each card that you have, not to each account. So if you have more than one card, you have more than one daily limit. There are a few different ways that you might have more than one card that access the same account:
- you can choose to have an extra card made for an additional cardholder – someone else that you trust with your account (read more about additional cardholders on our page about managing your debit card)
- if you have a joint account, both of you have your own card
- if you have your account linked to your credit card, you have one daily limit on the credit card (when you use the “savings” or “cheque” button), and another when you use the debit card
Whichever combination of cards you have, remember that daily limits apply to each card, not to each account. So if you’ve already used up your $1,000 limit buying bedroom furniture from your joint account, your partner’s card has another $1,000 daily limit when you move on to the electronics store.
If the money’s already in the bank, you could put it on your credit card before you head out
If you don’t want to use credit for your purchase, or if you have a low credit limit, there’s still a way that you can use your credit card.
Say, for example, that you’ve had your eye on a new TV for a while now, and this weekend it’s on sale for $2,500. You have the money saved up, but you know that you can’t spend that much on EFTPOS in one day. There’s no way you’re going to carry around that much cash, and your credit card has a $1,000 credit limit. So here’s what to do:
Transfer the $2,500 onto your credit card before you go shopping. Even though you’ll press “credit”, you’ll only be spending the money you’ve already saved up. Because you’re using your credit card, there’s no problem with daily limits.
Even though you’ve used your own money to buy that TV, if your card lets you earn rewards points, you may have just earned points that you can redeem later on. That’ll depend on your credit card’s reward terms and conditions and eligibility criteria, so make sure you check those.
Not sure how to transfer funds onto your credit card? Learn about the basics of NAB Internet Banking.