Hello, Friends, I am Hemu, Today I am telling about the difference between debit and credit card.
You must have used debit and credit cards, but do you know the difference between the two? If not, then read this article to know...
In today's era, digital banking has made everything so easy that you can take advantage of many facilities like shopping, traveling, money transactions, etc., sitting at home. Banks provide their customers with debit cards, credit cards, and ATM cards to make these facilities more comfortable. With the help of these cards, you can easily do all financial transactions through digital banking.
But has the question ever come to your mind that what are the cards we are using? What is the difference between them? If you do not know, today we will tell you in this article what the difference is between debit cards and credit cards.
What is Debit Card?
You must have used a debit card very well, but do you know what a debit card is? The bank provides debit card facility to the people having current or savings account.
This card is used to spend the amount available in your account. You can easily connect this card to online banking. Whenever you make an online payment, the money will be deducted directly from your account. Also, it can be used easily.
What is a credit card?
We have told you what a debit card is, and every bank customer can use it easily. But credit cards are a bit different. It cannot be used easily as the card has a credit limit, which you can borrow as per your requirement. Also, the amount you have borrowed has to be repaid by the stipulated time limit.
After that, again, your amount is credited to your card. Also, if you do not repay the amount by the stipulated time limit, the bank charges you interest. You can avail many facilities with this card. You can do movie tickets, booking, shopping, etc., with online banking.
How to use
We have told you the difference between debit and credit cards. Now we will notify you how and where you can use it. By linking the debit card directly to your account, you can easily make payments anywhere. You can go from shopping to net banking sitting at home. Also, you can easily withdraw cash using an ATM.
On the other hand, if you use a credit card, your payment is deducted from the approved credit limit and not from your bank account, so this card is not easily accessible to everyone. For getting a credit card, the bank sets a rule that you can apply for getting the card.
What is Security Features?
Security features are standard in both debit and credit cards. Whenever you make a payment, you will always be asked for OTP, notification, or PIN.
In this way, you can easily use debit and credit cards. If you liked this article, then do like and share it. Also, could you stay connected with me?
Image Credit-(@sparkspot)
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