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The key differences between an RC and RH thermostat are in their wiring configurations. The RC terminal is used for cooling systems, while the RH terminal is used for heating systems. This impacts their functionality as RC thermostats are designed to control air conditioning systems, while RH thermostats are designed for heating systems. Compatibility with heating and cooling systems depends on the type of system being used, as using the wrong thermostat can lead to improper functioning or damage to the system.

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