What is a primary function of a Debit Card?

A primary function of a debit card is to provide access to a checking or savings account. When a user swipes or taps their debit card at a merchant or an ATM, the transaction directly withdraws funds from their linked bank account. This allows for convenient and immediate access to available funds without the need for cash or checks.

Using a debit card, consumers can easily manage their day-to-day expenditures, track spending, and maintain a budget since they can only spend what they have in their account. This feature makes debit cards particularly appealing for those who wish to avoid incurring debt associated with credit cards, as funds are drawn directly from their bank account in real-time during the transaction.

In contrast, the other options pertain to functionalities that a debit card does not support. Earning interest on savings is typically associated with savings accounts rather than debit card usage. Increasing credit limits relates to credit cards, where adjustments to credit availability are made based on the user's creditworthiness. Facilitating loan applications does not align with the fundamental purpose of a debit card, which is primarily meant for accessing and managing existing funds rather than for financing products or services.