2007-01-06 02:31:27 · 8 answers · asked by kah 1 in Business & Finance ➔ Credit
I agree.
2007-01-07 14:00:54 · answer #1 · answered by . 2 · 1⤊ 0⤋
My take on your question is that you are asking about the difference as you present your bank debit card and the clerk asks 'debit or credit?'...( I think you know the difference between a debit card and a credit card)... so the only difference in this scenario is how you 'confirm' the purchase. If you say debit they will have you enter a PIN... if your response is credit they will have you sign the transaction. Some merchants now have a 'floor limit' of say $25 to $50 wherein they may require no signature for a 'credit' purchase. As far as the time frame for the funds to be withdrawn from your account: exactly the same.
Another interesting note: If you use pay-at-the-pump for fuel purchases with a debit card I have noticed one difference with a debit card. If you enter 'debit' a preauthorization of $1 is shown on your account. If you enter 'credit' a preauthorization of $50.00 is obtained. End result is the same, but let us say you are going to mow the lawn and fill up a two gallon can for 5 bucks. You hit credit, get your gas and off you go... except that $50 off your funds will be held for your $5.00 purchase until the store 'batches' their transactions (transmits) and shows an offsetting purchase. Thankfully they normally do this daily, but not always.
2007-01-06 11:12:43 · answer #2 · answered by mishawn54 1 · 1⤊ 0⤋
If you have a debit card this is moneys coming out of your checking,saving account etc...A credit card is where you have applied for a credit card.If you are ask at the place where you are using it credit or debit it is because the system can not determine the difference until it has been keyed in as either a credit card or a bank debit card
2007-01-06 10:48:10 · answer #3 · answered by 50+ 2 · 0⤊ 0⤋
You mean like on a Visa debit card?? Not much some stores will take just credit cards. With a debit/credit card you can still use your debit card. I think also debit is taken from the account quicker. Credit takes a few days to clear
2007-01-06 10:39:26 · answer #4 · answered by GD-Fan 6 · 0⤊ 0⤋
With "credit" you're using the card as a credit card; the bank is lending you the money to make the purchase. With "debit" the bank is actually paying for the purchase with money it takes immediately from your account for that purpose.
2007-01-06 10:41:12 · answer #5 · answered by Anonymous · 0⤊ 0⤋
Debit transactions come out of your bank account. If you buy something on credit, the credit card company initially pays for the item but than bills you the amount of money it cost as well as some interest (that's how they make their money)
2007-01-06 10:39:12 · answer #6 · answered by Anonymous · 0⤊ 0⤋
When you debit you use your money - money that you have in an account. When you use credit you are using the credit issuers money and unless you pay the entire balance when billed you will pay interest. Basically credit is a loan and debit is you "wallet" that can only be used if you have put money into it before you debit a purchase. .
2007-01-06 10:41:33 · answer #7 · answered by kayak 4 · 1⤊ 0⤋
Credit is what you are allowed to spend
Debit is the money spent
2007-01-06 10:37:14 · answer #8 · answered by sunkissed 6 · 0⤊ 0⤋