json_metadata | "{"app":"Musing","appTags":["Question"],"appCategory":"Question","appBody":"<p>The primary difference between a debit card and a credit card is as follows:-</p>\n<ul>\n <li> <strong>Your Money Vs Debt</strong></li>\n</ul>\n<p>Debit Card – with debit card you are spending your own money and you don’t run the risk of racking up a debt. Whereas with Credit Card – You are buying now and will have to pay later – it is handy if you do not have the funds right away.</p>\n<ul>\n <li><strong>Fees-free Vs Fees to be paid</strong></li>\n</ul>\n<p>Debit Card- you do not need to give any fee to obtain a debit card from the bank.</p>\n<p>Whereas in terms of obtaining a Credit Card annual fee has to be given, there are ATM charges involved if you take out cash using your Credit Card. Plus bank levies interest charges if you are not able to pay back the amount taken as credit.</p>\n<ul>\n <li><strong>Credit Rating – Good or Bad</strong></li>\n</ul>\n<p>Using a debit card does not affect your credit rating good or bad. In simple terms usage of debit card doesn’t account to the users Credit rating. Whereas using a Credit Card helps you build up a credit history. So, if you are a frequent user of credit card and are paying your card bills regularly than the chances are that you have a good credit history with a good credit rating. This in turn will help you in near future if you plan to take a home or personal loan.</p>\n<ul>\n <li><strong>Reward Offers</strong></li>\n</ul>\n<p>A user using a Debit card has less offers and reward schemes when compared to the user using a Credit Card. This is to lure people to use Credit Card frequently and allow them to buy things with a credit so that these financial intuitions gain on interest and other charges.</p>\n<ul>\n <li><strong>Easy of Obtain-ability</strong></li>\n</ul>\n<p>Debit Cards are easy to obtain – you have a savings account and you are eligible for a debit card. Whereas the same is not true to obtain a Credit card. Obtaining a credit card involves an application process and submitting various documents tied to your salary and various bank account details.</p>\n<p>Finally a word of opinion from my end - Please be careful while using your credit cards as if you do not pay in time the interest rates are hefty and you land up paying more interest to the banks. Credit card rate of interest stand somewhere close to 12%pa and would vary based on different countries. </p>","appDepth":2,"appParentPermlink":"p3d4vshh5","appParentAuthor":"asoebilambo","musingAppId":"aU2p3C3a8N","musingAppVersion":"1.1","musingPostType":"answer"}" |
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