Using a card for the first time involves three basic steps: activating it, learning how to pay at stores and ATMs, and keeping your information safe. Whether you just received a debit card from your bank or a new credit card in the mail, the process is straightforward once you know what to expect at each stage.
Activate Your Card Before You Use It
Every new card arrives inactive. You won’t be able to make purchases or withdraw cash until you complete a quick activation step. Most banks give you three ways to do this:
- By phone: Call the number printed on the activation sticker on the front of your card (or the customer service number on the back). Follow the automated prompts, which typically ask you to enter your card number and the last four digits of your Social Security number. You can also speak to a representative if you get stuck.
- Online or in your bank’s app: Sign in to your bank’s website or mobile app and look for an activation option. Have the card in front of you, since you may need to type in the full card number or expiration date.
- At an ATM: Insert the card at your bank’s ATM and enter the temporary PIN your bank mailed or texted to you. The screen will walk you through activation.
If you received a debit card, your bank will assign a temporary four-digit PIN. Most banks let you change it to something you’ll remember during or right after activation. For credit cards, a PIN is usually optional and primarily used for cash advances rather than everyday purchases.
How to Pay at a Store
When you’re at a register, you’ll use one of three methods depending on the terminal and your card’s features: tapping, inserting, or swiping.
Tap (Contactless)
If your card has a small wireless symbol on it (four curved lines, similar to a Wi-Fi icon), you can hold it within an inch or two of the payment terminal. The terminal reads your card through short-range radio signals. Transactions under $250 typically go through instantly without requiring a PIN. For larger purchases, the terminal may ask you to enter your PIN or switch to inserting the chip.
Insert the Chip
Most cards issued today have a small metallic square on the front. That’s an EMV chip, and it’s more secure than the magnetic stripe. Slide the chip end of your card into the bottom slot of the terminal, face up, and leave it there until the screen tells you to remove it. For debit cards, you’ll usually choose “debit” or “credit” on the screen and may need to enter your PIN. For credit cards, you may be asked to sign or simply approve the amount.
Swipe the Magnetic Stripe
The black or brown stripe on the back of your card is the oldest payment technology still in use. If a terminal doesn’t accept chips or tap payments, you’ll swipe the card through the slot on the side of the machine with the stripe facing toward the terminal. Swiping is less secure than chip or tap methods, so many retailers have moved away from it. Some terminals will ask you to insert the chip instead if they detect your card has one.
How to Use Your Card at an ATM
ATMs let you withdraw cash, deposit money, and check your balance. The basic process is the same regardless of the machine:
- Insert your card into the card reader slot. Some newer ATMs let you tap a contactless card instead.
- Enter your PIN when prompted. Shield the keypad with your hand as you type.
- Select a transaction type. Choose from withdrawal, deposit, balance inquiry, or transfer depending on what you need.
- Pick the account (checking or savings) if you have more than one linked to the card.
- Complete the transaction. For withdrawals, the machine dispenses cash after you confirm the amount. For deposits, you’ll feed cash or checks into the machine where indicated. For balance checks, the amount appears on screen or prints on a receipt.
- Take your card and receipt. Don’t walk away without both.
Using an ATM that belongs to your bank is usually free. If you use another bank’s ATM, expect a surcharge, often $2 to $4 per transaction, and your own bank may add its own fee on top of that.
Using Your Card Online
For online purchases, you’ll need three pieces of information printed on your card: the card number (the long number across the front or back), the expiration date, and the CVV (a three- or four-digit security code, usually on the back). Some banks also require you to verify online purchases through a one-time code sent to your phone or through a push notification in the bank’s app.
When a website offers to save your card for future purchases, the checkout process becomes faster, but you’re trusting that site to protect your data. Only save your card on sites you use regularly and trust. For one-time purchases, it’s safer to enter your details manually and skip the “save for later” option.
Keeping Your Card Safe
Card fraud is common, and criminals have become sophisticated. At ATMs and store terminals, thieves sometimes attach overlay skimmers, which are devices placed on top of the real card reader to capture your information. Some use even thinner “shimming” devices inserted inside the card slot itself. These are nearly impossible to spot with the naked eye. Hidden cameras are often paired with skimmers to record your PIN as you type it.
A few habits go a long way toward protecting yourself:
- Cover the keypad with your free hand every time you enter your PIN, whether at an ATM or a store terminal.
- Use tap when you can. Contactless payments generate a unique one-time code for each transaction, making them harder for criminals to exploit than swiping.
- Set up transaction alerts. Most banking apps let you get a push notification every time your card is used. If you see a charge you didn’t make, you’ll know immediately.
- Lock your card when it’s not in use. Many banks let you temporarily freeze your card through their app. If you notice something suspicious, lock the card first and verify the transaction before unlocking it.
- Report a lost or stolen card immediately. Call the number on the back of your card (save it in your phone ahead of time). The sooner you report it, the less likely you are to be responsible for fraudulent charges. Federal law caps your liability for unauthorized credit card charges at $50, and most major issuers waive even that.
For debit cards, the rules are stricter. If you report a lost card within two business days, your maximum liability for unauthorized transactions is $50. Wait longer than that and it can rise to $500. If you don’t report the problem within 60 days of your statement, you could be on the hook for the full amount. Checking your account regularly, even briefly, keeps you protected.