Credit cards , Debit Cards and Prepaid Cards ..
People sometime confuse themselves in the above terminologies mentioned in the title . Today I’ll explain the difference among credit card , debit card and prepaid card . let start with the credit card ,
Credit card is the term derived from credit means you have to give back money to the original lender after some time span . In short , you can use the money of bank throughout the whole month and after the completion of one month bank will send you a bill , you have to pay this bill to qualify for the second month usage . In credit card you have to pay the bank some extra dues because you are using the money of Bank in advance and bank have the right to get some benefit for giving you money in advance .
Debit card is the same like credit card but the only difference is in debit card you use your own money from your account , if there will be money in your account they you can use it otherwise your card will not work . A simple ATM card with a master or Visa logo make it a debit card and it can be used in hundreds of thousand retailer machines in the world .
Prepaid cards might be new to you because it’s the mirror image of credit cards , there is no main difference , the only difference is that you have to pay the bank money in advance to use that money & you will not feel that it’s not the credit card because all the things are similar just you don’t have to owe money to someone at the end of month because you are using your own money . Once the card gets empty you will have to option to recharge .I hope this will help !
Beside all that you need to know what’s the difference among VISA , MasterCard , American Express and blah blah . Credit card companies get affiliations with these brands and get accessibility world wide . To get better benefit from your credit card you need to know what are the benefits and for this you might need to check your credit card benefits . There are lots of credit card comparison website where you can check your credit card and beside all your can compare it will other brands !
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