What differences there is between a credit card and one of debit
The card it is one of the fee-paying means more used. It can be of credit or debit, according to the way in which the debt generated by the purchases is paid. With an debit card, the charge is made in the same moment of the purchase; whereas a credit card allows postponing and to finance payments.
It there is 3 big differences that they allow distinguishing a card of the other.
- The payment method. When is paid with debit card, is done automatically the charge in the account of the client, which is why is necessary that it has enough balance to face the payment of that purchase. On the other hand, with the credit card, not you must have funds, since the payment can postpone according to conditions negotiated with the financial institution.
- The possibility of financing. With a debit card the complete amount is paid of the purchase, whereas with a credit card you can postpone and finance purchases because is not necessary that it has money in the account in order to be able to use the card. Purchases can pay to three ways' bank: to overcome month, in fractionated terms or through a fixed fee.
- Interest. As the debit card involves the charge in account in the same moment of the purchase, there is no need to pay interest for using. However, yes that are generated interest when using the credit card, so much to the do a purchase as to the withdraw cash of an ATM, since the financial institution is financing that fund willingness.
What type of card suits to use?
The credit cards and debit they can use indistinctly for some expenses, although there are situations in which suits to have clear which suits to use to avoid the payment of surcharges and expenses unwanted.
Broadly speaking, the debit cards they are the more recommendable ones for the day by day: to do the purchase in the supermarket, to pay small additions in shops and restaurants, to recharge a prepaid mobile phone...
The ideal thing is to reserve the credit cards to make payments of great amount, as the purchase of a household appliance, the arrangement of the car, bookings of trips… since it does not be necessary to have balance at that point in the account in order to be able to face the payment. In this way, although an is not had emergency fund to go out of the step in unforeseen situations, you can pay expenses in the moment more appropriate.
There is a broad one offer of credit cards and debit. If you have doubts of which is that which better is adapted to your needs, do not doubt in consulting with your personal manager so that it advises you.
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