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Difference between Debit and Credit Card

Understand the difference between debit card & credit card along with its features & benefits. Click here to know the advantages & disadvantages of both the cards and then decide which card to use, based on the differences.

August 30, 2019 / 09:23 AM IST

Remember the last time you stuffed a lot of cash in your wallet? With the advent of debit and credit cards, cashless transactions are raging. One swipe and you are all set to pay for your purchases. While operationally both the cards are same, functionally they are quite different. Let’s look at the difference between debit and credit cards. Understanding the difference between credit card and debit card helps you to decide which card you should get. In case you have both credit and debit cards, you can decide which card to use, based on the differences.

Conceptually, there is a difference between debit and credit.


Debit and credit difference

Debit means the removal of an amount from an account. In a book keeping entry, debits are indicated on the left-hand side. Credit refers to the amount received in an account. Credits are indicated on the right-hand side of a book keeping entry. It also means the ability of a customer to obtain goods or services without making an instant payment.


What is a debit card?

A debit card is issued by the bank where the individual has a savings account. Debit cards are also issued to corporate entity. Such cards are linked to the current account.