Sunday, December 4, 2011

Whats the difference between Debit or Credit?

I have never asked this question but what is the difference between Debit and Credit when you goo up to the register to pay for stuff? Is is that you get charged on one of them choices or what?|||credit is money that you borrow and promise to pay back


debit the money is there in your checking account


its like writing a check but used as a credit card because of the Visa logo most places will take debit card because of the Visa logo|||The answer to your question is this.....


When they ask you whether you want to use credit or debit, you have a choice of whether to punch in your pin number with a debit or sign the slip if you choose credit. The banks are offering rewards now for credit signatures so they have a signature to reference in the case of a stolen card. Also, the bank charges the merchant a fee when you choose credit and they pass a small amount of that back to the consumer in the form of these rewards.|||Credit = you pay for it later. The company which took the money from your credit card account will send you a bill, which you can pay with a check or money order at a later due date. No money is taken out of your account at all.





Debit = The money is withdrawn immediately out of your checking account/savings account, etc... , depending on the account that you have.|||If you use debit at the register and have to use your PIN number, the transaction will usually deduct money from your account right away, When you use credit and have to sign you either just put money onto your credit account and make your payments or it will take a few more days to deduct from your account|||Using a debit card is like writing a check. It comes right from your checking account. Often you have to enter a pin number.





Credit cards are charge cards. If its a Visa card, Visa keeps track of your charges and sends you a bill at the end of the month. You can keep charging up to your credit limit, but interest rates are high.|||debit comes out of the account right away, credit takes up to three days to come out of the account and you need to sign the reciept just like a credit card, much more safe|||The Bank issues two main types of cards :


Debit - Money is withdrawn directly from your account (similar to taking money from an ATM machine)





Credit - Is another type of card and works like a short-term loan.|||debit is money you deduct from your bank account


credit is money you borrow|||debit is like a check, straight from your bank account.


credit is a loan that you pay later.|||Credit builds up a bill.


Debit comes right out of your checking account.

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