Debit (Offline)

Offline Debit Transactions — also known as signature debit transactions — occur when a debit card is used for a transaction, but instead of inputting a PIN for authorization, the customer provides a signature. This transaction method mirrors the process used for credit card transactions.

The key difference between online and offline debit transactions lies in the timing of the fund deduction. In offline debit transactions, the funds are not immediately withdrawn from the customer’s bank account. Instead, they are processed as part of a batch of transactions at the end of the business day, which could potentially lead to overdrafts if the customer is not cautious about their account balance.