Know this first - what is a debit card?
​Debit cards are like EFTPOS cards, but you can use them to make purchases online (just like a credit card). Additionally, you can use a debit card to make contactless payments, PIN payments and withdraw cash from ATMs in New Zealand and overseas. Every transaction you make is linked to your bank account meaning payments you make are deducted from your bank balance in real time.

There are a lot of different debit card options available; our guide covers:

• Debit cards vs EFTPOS Cards
• ​The best debit cards available right now
• Three must-know tips when choosing a debit card
• ​Frequently Asked Questions

Do you want to compare travel money debit cards? If so, this guide is not for you. Our dedicated travel money card comparison has you covered.

All major New Zealand banks offer debit cards. They are designed for everyday spending and will either be Visa or MasterCard branded. These are the companies that process the transactions when you use the card. However, your relationship is always with your issuing bank so you’ll need to contact their customer service team should you have any questions about your card - Visa and MasterCard don't assist customers directly.

​How to choose the best debit card for your needs:
The best debit card is one with zero annual fees (or as low fees as possible). Furthermore, the best debit card will integrate with a fee-free bank account. While issuing and renewing a debit card can be free, using it can incur fees in a number of ways:

1. Renewal fees: Most banks charge an annual fee for the use of the card – if your bank charges this, it will usually be no more than $10/year and taken from your bank account.
2. Transaction and withdrawal fees: In New Zealand, bank-issued debit cards don’t charge ATM withdrawal fees or transaction charges for purchases in shops or online within New Zealand. However, if you make a transaction in an overseas currency, most debit cards charge a percentage fee.

Important: Understand how Visa and MasterCard compare

• If you use your debit card exclusively in New Zealand, there’s little to no difference between MasterCard and Visa. However, if you make online purchases in overseas currencies (i.e. AUD or USD) or travel overseas, the main difference is the exchange rate.
• Our Visa vs Mastercard research confirmed that MasterCard offered better exchange rates. This won’t make a difference on a $100 purchase, but if you use it often for non-NZD purchases, the difference can add up.

Banks continue to issue EFTPOS cards, but the reality is debit cards are packed with a lot more features, much more convenient and don't have any additional transaction fees. The table below illustrates the advantages of debit cards.

Almost every bank in New Zealand offers a debit card alongside a free-fees everyday bank account. This means you can pay $10 (or $0) per year for everyday banking with a debit card. Beyond the free standard fees, you'll still pay overdraft interest and fees if your spending exceeds your balance (and have an overdraft facility set up). There are a few non-standard fees to aware of (for example, overseas transaction fees).

Overall, our view is that the BNZ and Westpac offer the most attractive debit card features, backed up by fee-free everyday bank accounts. However, despite not being a bank, we strongly suggest considering the TransferWise debit card (which comes with a free-for-life New Zealand bank account). It makes a sensible backup option for NZD transactions, and a cost-effective card if you're spending in overseas currencies (i..e online shopping or when travelling).

To help understand all the debit cards on offer, our comparison below highlights what's most important so you can compare with confidence. 

We've listed a number of popular debit card questions to make the decision process easier. If you're unsure about anything, ask the issuing bank or provider before going any further or signing up.

Yes. Debit cards will transact payments just as an EFTPOS card would. You will incur interest costs on the overdrawn balance - check with your bank to understand the fees involved.

Yes - debit cards are not credit products, so there is a low risk of ​your debit card application being declined. Our guide to credit scores explains credit profiling in detail. 

Yes, overall - but if you lose your card in a public area, there is a risk of unauthorised payments being made if someone dishonest finds it. To minimise the risk, you will need to cancel the card if you misplace it and order a new one.

Among most New Zealand banks, the time is usually within five business days from the date you requested the debit card.

Yes - but as with anything online, protecting your details from fraud is essential. To do this:

1. Never share or send your online/mobile banking information.
2. If you use an app on your phone, make sure you regularly update it so that you have the latest security features.
   
3. Delete any unusual emails about 'password recovery' or 'fraud alerts' - these are likely to be scams. If in doubt, contact your bank on its official number.