Credit and Debit Cards
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What are the advantages of debit cards over credit cards?

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2012-12-06 20:31:22
2012-12-06 20:31:22

A debit card is limited to the amount of money you actually have in an account, so it is difficult to overdraw on one. With a credit card, you are using a bank's money on credit, while with a debit card you are spending money you already have.

With debit cards, you do not get any "rewards" (benefits that the credit card company gives you in return for origination fees they charge places that take their cards). However, you also do not face any interest on unpaid balances.

You can also still take out too much and get your account into negative. Perhaps the only real advantage is that if you log into your debit account everyday, you can see your balance with all your purchases. Credit cards can take days to post your purchases and may not give you a correct balance.

Debit cards are just like cash, since they are usually linked directly to your bank account. However unlike cash, if you withdraw too much, you will definitely incur overdraft fees and such.

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More and more places online are making you have a credit card to order. Debit isn't widely execpted at all online. Also with credit, if you get it to be good then it helps you get a house and a car or even a boat at a much lower rate so you can pay less at one time.


to build up credit .... so you do not over spend like you can with a credit card


Chase is a major US bank that offers both credit and debit cards to consumers and businesses. These credit cards are accepted at merchants all over the world.


Credit cards allow consumers to borrow money from the card issuer up to a specific limit to purchase items or withdraw cash.While Debit cards allow bank customers to spend money by drawing on funds they have deposited at the bank.The credit card has more benefitBuild a positive credit historyProtect if your card is lost or stolenProvide additional benefits, like extended warranties on electronicsThat's the reason USA citizens prefer credit cards over debit cards


Prepaid credit cards are essentially the same as debit cards, just with a credit card company name attached. You only get to spend the amount you have deposited, or you may go over by a set amount but then you start having to pay fees.


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Yes... A credit card allows the customer to pay for items bought using the card over an indefinite period, up to an agreed credit limit.A debit card can only be used to purchase goods up to the balance of the bank account linked to it. Debit cards normally have no overdraft facility.



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A new business should accept cash, checks, credit and debit cards. A new business should also be able to accept credit/debit card payments over the phone as well as online.


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Debit Note - Money being taken out such as invoiced or charged Credit Note - Money being given back such as refund or over payment.


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