I just opened a bank account, what is the difference between credit and debit?

Question

i opened a checking account and just got my debit card. when you use it, what is the difference between credit and debit?

Answer 1

Credit is spending money you don't have.  Debit is spending money you do have....

Answer 2

debit card takes the money out of your checking account.

credit card is a loan at a high rate of interest

Answer 3

Credit = money you don't have but will have

Debit = money you have and it will come out of your account

Debt = not good =] lol

Answer 4

with a debit card from the bank.... you can use debit and the money will come out of the account right then and if you use credit it will take it out in a few days

Answer 5

pretty much nothing....you can use the credit on the internet and stuff tho...you still need to have money in ur account to use it tho

Answer 6

i think debit takes money out of the account automatically while credit takes a couple days to be taken, if tahts not correct then its the other way around.

Answer 7

debit comes straight out of your checking account which is money you do have and when you use credit its like you have to slowly pay it off monthly

Answer 8

okay, if you are talking about a card linked to your checking account this is how it works....if you ever want cash back you HAVE to use card as a debit, it checks your actual available cash, if you go out to eat or something and you cant use your card as a debit than you can swipe it as a credit, it will still come out of your account right away like a debit, but SOMETIMES, especially gas stations, when you use your card as a credit only a dollar will come out right away and then a day or two later the actual total will come out. you also do not have to use your pin code when you use it as a credit.

Answer 9

Credit you will sign the receipt and debit you'll punch your pin.  The money comes out the same way.

Answer 10

The difference between a credit card and a debit is the financial part. Debit card is directly linked to your bank account.  Basically that is your credit limit, however much you have in there. So it is like a having a plastic check instead of a paper one.

A credit card have charges at the end of the month with interest rates and have a line of credit that is not linked to your bank account.

Answer 11

When you buy something with a debit card it immediately charges it to your account, but when you buy something with credit you don't have to pay until the bill comes.

Answer 12

using "debt" take the money directally out of your account. "credit"-- well it just takes longer to show up in your account :)

Answer 13

I actually jsut opened a checking account as well and with my account I always CREDIT any purchase i make because if I debit it, it cost 75 cents whereas when you credit it, it's free. That is the main difference as far as mine goes!

Answer 14

credit you get charged for later.  debit comes right out of your account when you use it.