Check cards can keep debt down
By Sarah Brown Special to the Kansan
What does a student do who wants the convenience of a credit card but not all the debt? One option is the check card.
The card, issued by a bank, resembles a credit card but works like an ATM card. Charges made with the card are deducted directly from the user's bank account, so no debt is accumulated.
A check card also can be used to make purchases that a check can't.
Keri Knudten, Columbia, Mo., junior, said she had used her check card to sign up for America Online at a time when she didn't have a credit card.
Doug McDougal, Pomona graduate student, said he and his wife liked to use their check card for catalog shopping.
"I got in trouble a few times," she said. "Now I only use mine when I really need it, like to buy gas."
But Knudten warned that there was a possible danger in using check cards. She has had a check card for about five years, and several times she has made a series of charges but forgot to record them in her checkbook.
"It's really convenient for us, being out in a rural area," he said.
Knudten also said the card could be a little too convenient.
"It's really easy to use. All you have to do is sign a piece of paper," she said.
Kellie Kemper of Consumer Credit Counseling Services, 1012 Massachusetts St., said that a check card's value — keep
ing debt low — depended on the users and how much they controlled their spending. The program helps people resolve financial difficulties. Check cards often are more convenient than writing a check, which could lead users to spend more.
Kate Blatherwick, St. Louis graduate student, said some people had run into problems when they used check cards at a rental car agency where she used to work. Unlike a credit card charge, which is made when the car is returned, use of a check card results in a hold being placed on the user's checking account at the beginning of the rental period.
Blatherwick said some customers didn't realize this and were dismayed when they bounced checks.
Several Lawrence banks offer check cards to their customers, and several more are preparing to issue them in response to customer requests.
Another type of debit card available to KU students is the Union Express card. With a minimum deposit of $50 at the Kansas Union Business Office, students can open an account and turn their KUID into a debit card.
The card then can be used at the food service areas and bookstores in the Kansas and Burge unions.
Larry Schmidtberger, the Union's business manager, said about 300 accounts were active at any given time. This service can be a convenience for students and parents, who can send a check for deposit for their children's account to the Kansas Union business office, he said.
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