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will using my bank checkcard (debit card) help build my credit if I use it as a credit card when I make purchases (when you go to the stores they ask you if you want to use it as credit or debit) so I just wanted to know. Well thanks in advance :)

2007-10-24 10:24:16 · 8 answers · asked by Deb 2 in Business & Finance Credit

8 answers

No it wont, using it as a credit card just means that the bank or visa pays the transaction charges. You want to build credit, find someone that will give you a card and don't max it out, half the limit no more and take your time paying it back, no less than minimum payment. Capitol one, or orchard bank, but orchard will want you to secure it, pay up front. Your credit score will jump 50-100 points. Or get an in-store card, target, wal-mart, they also report to credit bureaus. Until you have good credit established don't go crazy, but once you do they'll come out of the woodwork to loan you money.

2007-10-24 10:37:02 · answer #1 · answered by persuader 3 · 2 0

Bank cards issued to you are not credit cards and will not build credit. even if the card has a Visa or Mastercard logo on it. And your second question, I have a Visa Sharecheck card issued by Navy Federal with a Visa logo on it, and I also have a debit card for the same checking account. The difference between the two is this: When you use your Visa card the bank will authorize that amount for 3 days, so the balance on your account reflects what you just spent for 3 days. After 3 days the bank will de-authorize that amount and adjust your balance accordingly, so it will appear that you have more money, but don't spend it because eventually the company that you used your card at will take your money, so you could potentially go in the whole if your not careful. However, the regular debit card is an instant transaction, meaning that the money you spend at that moment is deducted from your account and it is never "authorized" or deauthorized.

2016-05-25 14:09:38 · answer #2 · answered by ? 3 · 0 0

No. The debit card, even though it displays a major credit card insignia, deducts from your checking account funds. The only thing you accrue is the interest of the bank as you do not pay back a credit agency. To build credit, you must have an account that you have to pay monthly on an amount that is not associated with your checking and/or savings account.

2007-10-24 10:33:45 · answer #3 · answered by Anonymous · 2 0

Your debit card takes funds from your bank account. The only difference in processing as a "credit" is that you sign instead of using your PIN.

You are not using credit; you are just spending your own money.

2007-10-24 10:53:28 · answer #4 · answered by bdancer222 7 · 0 0

Typically, it will not help, even if you process a purchase as a credit transaction.

Somewhat unfair, since if you misuse it, you could be reported to the credit bureaus if you cause the banks a loss.

2007-10-24 10:31:24 · answer #5 · answered by TreLawrence505 3 · 1 0

No, debit card companies donot report to the credit bureaus. So, they wouldn't help your credit at all.

2007-10-24 12:22:20 · answer #6 · answered by outlawimmortal2 2 · 0 0

No, because you aren't using credit you are spending your own money. No credit history is accumulated. Sorry.

2007-10-24 11:01:41 · answer #7 · answered by tantiemeg 6 · 0 0

sadly no, only credit cards, or loans can build your credit history.

2007-10-24 10:28:56 · answer #8 · answered by ★→Damian←★ 4 · 4 0

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