How is a bank card different from a credit card?

2 Answers

  • Anonymous
    9 years ago
    Favorite Answer


    A bank card, often referred to as a "debit" card transfers cash directly from your bank account to the merchant (i.e. Walmart).

    A credit card is a card from a bank or other lending institution that allows you to borrow money for a set number of days (around a month) and you then pay them back when the credit card company sends you a statement.

    While a credit card has some protection and limits, using a bank card is actually more dangerous, if an unscrupulous vendor gains access to your bank card data they could theoretically empty your bank account. Many financial advisers and security experts recommend that a consumer avoids using bank cards for transactions. Let me know if you have further questions.

  • 9 years ago

    A bank ("Debit") card draws on funds you have already deposited in your bank's checking account. You have to put money in to take it out and usually there is a minimum & overdraft fee.

    A credit card is borrowed money. A third party pays for the goods/services provided by the merchant and you are sent a bill from the third party later on in the month. If you don't pay you are charged interest. Some also have annual fees.

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