Discover Cashback Debit Review 2019
December 24, 2018
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Discover’s Cashback Debit is a 1% cash-back rewards checking account that comes with no monthly service fees and access to over 60,000 fee-free ATMs across the U.S. This combination of features is not found elsewhere in the market and makes the Discover Cashback Debit a terrific choice for a new checking account.
The Discover Cashback Debit account is well-suited for consumers who don't require a significant physical bank branch presence. Instead, Discover offers online banking, access to no-fee ATMs throughout the country, 24/7 support from a U.S.-based customer service team, and a smartphone application for your banking needs (e.g. mobile deposits). Read on for more details.
- Earn 1% Cash Back on up to $3,000 in Debit Card Purchases Each Month (up to $360 cash back per year)
- You may view the rewards earned from your Discover Cashback Debit account in the Rewards Detail section in your online Cashback Debit account summary, found under the "Manage" tab.
- Debit Card Cashback Bonus earned from your Discover Cashback Debit account can be redeemed the following ways:
- Redeem as cash via a credit to your Discover Cashback Debit, Savings, or Money Market Account(s)
- Enroll in Auto Redemption to Savings and Discover will automatically deposit your Debit Card Cashback Bonus into your selected Discover savings account each month
- Transfer to a Discover Credit Card Cashback Bonus Account
- Note that ATM transactions, the purchase of money orders or other cash equivalents, cash over portions of point-of-sale transactions, Peer-to-Peer (P2P) payments, and loan payments or account funding made with your debit card are not eligible for cash back rewards.
- Minimum deposit requirement: $0
- Ongoing balance requirement: $0
- Monthly maintenance: $0
- ATM use: No-fee withdrawals are available at over 60,000 ATM locations with your debit card
- Debit Card Replacement: $0
- Standard Checks (Upon Request): $0 for any standard check orders
- Official Bank Check: $0
- Expedited Delivery: $0 for official bank checks and replacement debit cards
- Online Bill Pay: $0
- Account Closure: $0
- Deposited Item Returned: $0
- Stop Payment Order: $15 per order to stop payment for 6 months
- Wire Transfer: $0 for incoming wire transfers, $30 for outgoing wire transfers
- Insufficient Funds: $30 for each item presented against your Account when insufficient funds are available.
Maximum of 1 fee per day. $0 for Discover Student Deposits Program Accounts.
First Fee Forgiveness Program
In each calendar year (January 1 through December 31), the first eligible fee charged to your Cashback Debit account will be waived and credited to your account. This fantastic benefit requires no action on your part.
Insufficient Funds and Stop Payment fees are eligible for the first fee forgiveness program. Wire transfer fees are not eligible.
Freeze It Feature
The Cashback Debit also offers a useful security feature called Freeze It, which enables the cardholder to temporarily freeze all new purchases and ATM transactions to prevent fraud, while allowing other account activities such as previously scheduled and recurring transactions, internal and external transfers, deposits, and online bill payments to continue as normal.
While the Discover Cashback Debit will stand out to anyone who likes receiving cash back for their purchases, this product may appeal most to consumers who can’t or don’t want to use a credit card to accumulate rewards. We say this because there are many cash back credit cards that offer more than 1% cash back. However, credit cards require an application, have credit profile/credit score requirements, come with credit limits, and carry annual fees. The Discover Cashback Debit can be a great way to participate in cash back rewards without having to worry about the fees, credit profile requirements, and spending limitations of credit cards.
The Discover Cashback Debit is also a great product for customers who value convenience, as Discover’s online and mobile experiences are user-friendly, and its telephone customer service is excellent. As an additional convenience, Discover Cashback debit customers can now add their Cashback debit card to Apple Pay, enabling access to their account via mobile devices.
About Discover Bank
Discover Bank was originally founded as the Greenwood Trust Company in 1911 in Greenwood, Delaware. Greenwood Trust Company was acquired by Discover Financial Services in 1985 and was renamed Discover Bank in 2000. The original location of Greenwood Trust Co. on East Market Street is still operating and remains Discover Bank’s only physical banking location. In addition to the Cashback Debit account, Discover Bank’s other offerings include online savings, money market accounts, and CDs.
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