Is it better for me to get a credit card or a debit card?

Question

I've never used either one before. Should I start off with a debit card?

Answer 1

Actually both, I'll explain.

Debit cards- the money that's on there, once you pay that's it, it's gone. These should be used for "everyday puchases" It beats writing checks because the money's taken out right away, no having to wait for a check to clear. A lot of places are not accepting checks because of debit cards.

Credit cards- You have a certain amount that you can spend, once it's spent you have to pay it all back, hence the name "credit" These should be used in dire emergencies such as medical or automotive. With a credit card can allow you to rent a car, make hotel reservations where some companies may not allow you to do that with a debit card. You could still pay with one, but not to make the reservation.

To start off, I'd get a debit card just to get a general idea of how it works. I've supplied a link to one that works just like a checking account.

Answer 2

Everyone should have a credit card to help build up a positive credit history. I would get a debit card linked to your checking account, but also get a credit card. Make sure you are responsible with your credit card use. Never spend more than you can afford to pay back because not only will you have to pay astronimical interest rates, late fees, etc., you will be slowly destroying your credit.

Answer 3

Get both. Use your debit card for most things. Use your credit card only for things that you can pay off at the end of every month. Ask for a low, maximum amount to charge. Depending on your income & what you can afford. This will build up your credit worthiness.

Answer 4

debit card comes directly out of your checking account, so you won't receive a monthly bill and owe money later on...it's pretty much the same as writing a check, but it comes out immediately. I would say go with the debit card first to make sure you can manage your funds. Only get credit cards for emergencies...they can get you in trouble real quick, I know!

Answer 5

A debit card is handy for place that will not accept checks, or out-of-town checks. It works like credit but draws from your own funds so you are not "going into debt". Check with your financial institution regarding fees associated with using the card, and MAKE SURE to record it in your check register.

If you're looking to establish credit, you will need to use a credit card. If you are able, try to get one with reasonable fixed interest rates, and little or no annual fees. Use it only when you know you'll be able to pay it off in timely fashion. If you aren't sure that you'll be able to manage your spending habits, talk with your bank. They may be able to help you establish a credit line with a lower limit. This will limit the "damage" you can do to your own pocketbook.

Answer 6

start off with a debit card so you don't go crazie with it. A debit card won't let you spend more than you have.

However, I put everything on my credit card - but I am disciplined enough to pay it off every month. The advantages of a credit card are better fraud protection and sometimes they come with bonuses like frequent flier miles or cash back rewards.

Answer 7

A debit card does NOTHING to get you started with being creditworthy. A debit card draws money from a secure source. Get a credit card.

Answer 8

Debit card because you are spending money you HAVE and won't be tempted to spend your money frivously if you had a credit card.

Avoid credit cards...with debit cards there is no reason to have one anyways since they work the same way a credit card does.

Answer 9

hello, sorry for my bad english (I'm brasilian)... credit card is when you have no money, but the bank gives u credit, then u have to pay after. Debit card u need an account in the bank, so u put money on it, and then u spend with your debit card, got it? hop I could help u.

Answer 10

Actually both. You need a credit card to start building your credit profile. You just have to be careful with it and never charge more than you can pay, make your payments on time or early to avoid interest charges.

Debit cards are linked directly to your checking account, there is no grace period, if you put $40.00 worth of gas in your car that money comes out of your checking account in seconds. If you use a credit card, you have 30-days to pay for it interest free.