![]() In credit card, banks usually allow a credit period of 30 days to repay a credit amount.Fees are charged for the services and it is a monthly base.A credit card is given to an account holder based on the parameters like credit history, repayment capacity, income statement and debt.In credit card, a payment is done by the bank as a third party to the seller on time.Credit card means money taken on a loan from the bank which must be repaid on time with the interest applied.A credit card is a type of service provided by the bank to its customers to make payment for the purchase of goods and services on credit.A debit card is used to purchase goods, to transfer fund, e-banking, M- banking, to deposit fund and much more.Bank charges fees on a monthly basis from the customers.A debit card is the same instrument like a cheque it means when an account holder uses it an amount automatically deducted.An account holder is able to spend the money which is on his account, not more than that and when there is no money in an account, a debit card will be declined.In a debit card, money is deducted when an account holder makes use of it which is linked to the account holder's bank account number.A debit card is a type of service provided by the banks to its clients to obtain goods and services from his saving bank account.Debit card means to deduct the money as the name itself describes the meaning of it.With the help of debit card, an account holder is able to access money anytime and anywhere whereas credit is used to make payment on a credit purchase. Prompt action can help prevent unauthorised access to your account and limit your liability use your funds in your bank account.īy knowing these essential tips, you can make informed decisions when using your debit card, safeguard your account against fraudulent activities, and maximise the benefits of this convenient payment tool.Credit card and debit card both are small plastic cards issued by the bank. If your debit card is lost or stolen, contact your bank immediately to report the incident. Keep your card in a safe place, shield your PIN when entering it at ATMs or point-of-sale terminals, and be cautious of skimming devices or suspicious websites that may attempt to steal your card details. Protecting your debit card and personal information is paramount. Informing your bank beforehand can help prevent your card from being flagged for suspicious activity when used in a foreign country. ![]() Some banks may restrict international usage by default due to security concerns. International Usageīefore traveling abroad, notify your bank about your plans to use your debit card overseas. Reporting any discrepancies to your bank promptly is essential for protecting your finances. Keep track of your purchases and review your bank statements to detect any unauthorized or fraudulent activities. However, be cautious of the associated fees and interest rates charged for using this feature, as they can accumulate quickly. Some debit cards offer overdraft protection, which allows you to complete transactions even if you don’t have enough funds in your account. These fees can vary and may include charges from both your bank and the ATM owner, so it’s essential to choose your ATMs wisely. However, be mindful of the fees associated with using ATMs that are not operated by your own bank. ATM Usage and Feesĭebit cards allow you to access cash from ATMs conveniently. Be aware of these limits to avoid any inconveniences while making purchases or withdrawing cash. These limits are set by banks to protect you from fraudulent activities. You cannot use more funds than what is already there in your savings account.”Īlso Read: Retirement Planning: How can a salaried person plan his retirement in India? Withdrawal Limitsĭebit cards come with daily spending and withdrawal limits. On the other hand, debit cards help you withdraw and make transactions within the balance in your bank account. ![]() These benefits include cashback, redeemable reward points, discounts and deals, curated lifestyle experiences, travel benefits and much more. This can be advantageous for avoiding debt but also limits your purchasing power to what is in your account.Īdhil Shetty, CEO, Bankbazaar, says, “A credit card, when used smartly, can give you several benefits and help you savour life better. Using a debit card means you are spending your own money rather than borrowing from a financial institution. Unlike credit cards, debit cards are linked directly to your bank account, so you can only spend the available funds. Equity schemes inflows decline 68% m-o-m in April Difference between Credit and Debit Cards
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