The Fraud Practice's guidance to consumers is simple: reserve your PIN exclusively for ATM transactions. Both credit and debit cards can advertise "zero fraud liability" — but the actual legal protections behind that marketing differ significantly between the two.
Credit card protection
Under federal law, credit card liability for fraud tops out at $50 — and most issuers waive even that amount. That protection applies regardless of how quickly you report the fraud.
Debit card protection — and why timing matters
Debit cards work differently, and the clock starts the moment the fraud happens, not when you notice it:
- Reported within 48 hours: liability capped at $50
- Reported after 2 days but within 60 days: liability can reach $500
- Reported after 60 days: you may be responsible for the entire amount
The practical takeaway
Run your debit card as a signature-based (credit) transaction at the register instead of entering your PIN, and save the PIN exclusively for ATM withdrawals. It's a small habit change that keeps you inside the strongest liability protection your debit card actually has.