What's the right answer to "Check, Savings or Credit" for an overseas card in Australia?

Question

A few days ago, rather jetlagged, I was very stumped when the person serving me in a cafe at the airport asked "Cheque, Savings or Credit" when I handed over my (overseas / foreign card) to pay for a much-needed coffee. It actually took them asking several times for me to even work out what they were asking (jetlag + accents = fun!), and I'm still not sure what they pressed when I said "umm, mastercard?", but it worked... Since then, I've found most card machines or staff asking me the same question when I've gone to pay.

As someone holding a non-Australian issued card, what's the right response?

(I'd guess that I'd answer "Credit" for a Credit card, but that'd be good to confirm, then there's also non-Australian Debit cards and pre-paid/pre-loaded cards to consider too!)

Answer 1

At point-of-sale terminals, cheque and savings transactions are processed through the domestic EFTPOS debit card system. As far as I know they only accept locally issued debit cards.

Credit transactions are processed through the relevant international card scheme (Visa, Mastercard, etc). Despite its name, they accept both debit and credit cards issued under the scheme.

Answer 2

Depends on who issued your card. Visa / MasterCard branded debit cards or check cards as they are also called, issued from the USA need to be processed as credit cards outside the USA (except in ATMs).

Some systems in Asia that I have noticed (using my US issued debit cards) ask "cheque, savings or credit" other ask "current, savings or credit", you are supposed to select the type of account your debit card is tied to when asked this. At an ATM I select the correct bank account type, but on a POS system I always select credit. I haven't noticed the same query when using my credit cards.

Answer 3

I'm pretty sure Credit is the answer you want.

The major credit card networks (visa and mastercard) operate pretty much worldwide. Debit card networks on the other hand tend to be more localised. To provide worldwide cover debit card issuers work with Visa or Mastercard allowing their debit cards to be processed as-if they were a credit card.

So when you use your debit card abroad you generally want it to be treated as a credit card.

Answer 4

In your scenario I'd say "Credit", but I believe it mostly only matters if you have multiple accounts linked to your card: they're allowing you to choose.

Answer 5

Some banks and their ATMs can't tell what type of account your card is linked to, so they ask.

I've had the same question from several foreign ATMs. Choosing 'checking' when using my UK issued, VISA debit card worked as expected. So did choosing 'Credit' when using my VISA credit card.

Answer 6

ATMs in China used to ask me a similar question when inserting my european MasterCard (tied to only one account).

This may be anecdotal, but I've tried all three, all of them worked and I saw no difference on my bank statements. I'd offer the rule of thumb to always try checking first and credit second.

Answer 7

As another data point, two USA-issued debit (not credit) cards of mine work best with 'Checking', both inside the USA and in those countries where the question has been asked.