Between credit cards and debit cards, they both function as non-cash payment instruments. But there is something fundamental between the credit card and debit card. If a credit card, can be used with certain limits provided by banks to owe / credit, so we will receive bills every month according to the amount of credit used.
While debit cards, can also be used for payments, but are not credit transactions, which means that they can pay as long as there is sufficient balance and there will not be a number of bills each month. Because the funds stored on the debit card are money that has been previously saved.
However, if asked more profit where between credit cards and debit cards? The answer is depends on your needs. However, in general, the use of credit cards has far more advantages than debit cards. Why?
1. Protection from Card Issuing Banks
Because the credit card system is a loan of money in the beginning, the bank will protect the money it lends. So that credit cards have a lot of protection for users even stronger than debit cards. Even so, it does not mean that this debit card protection is not better either. Both are protected by the card issuing banking.
2. Credit Cards Provide Product Return Protection
With a credit card, usually some card issuing banks will give their customers time when the product they buy is not appropriate. Generally, the credit card issuing bank will provide a deadline of up to a maximum of 90 days from the time of product purchase.
3. Credit Cards Can Extend Product Warranty
Some credit cards also offer more that cannot be found on debit cards. The advantage is the extension of product warranty beyond the warranty provided by the seller of the product. So you can replace or make a claim if the item is damaged outside of the warranty time of the product purchased.
4. Stronger Credit Card Legal Protection
One more advantage of using a credit card over a debit card is more legal protection. When dealing with a credit card, it can be better protected legally if a problem occurs. For example, an error occurs in online transactions and cancellations occur, then the credit card will be far stronger legally and can withdraw payments compared to debit cards.
For business claims, when using a credit card will also be easier than when using a debit card. Nevertheless, using a debit card will indeed reduce the burden of monthly bills and more control over shopping than a credit card.
5. Misuse of Credit Cards Will not Drain Money
In the event of loss, the greater risk is on the debit card. Imagine, if the inventor managed to break the ATM PIN, then all funds could have been drained and could not be returned. Because the funds are funds that are already available previously on the debit card.
Meanwhile, when using a credit card, even if the card is successfully used for transactions by others, the amount of the transaction will be limited according to the limit given by the bank. Credit card or debit card, the blocking process can be quickly done and processed by the card issuing bank.
6. Guaranteed Online Transaction Security
More advantages offered by credit cards are a guarantee of security when making online transactions. If the product shipped is not suitable, then canceling the transaction is easy. This is different from online transactions with debit card payments, so the total transactions will be directly debited and made payments at that time.
On credit card transactions, there will be a delay for each payment. So that the transaction process will really be successful when the goods are received by the seller. So, it is clear that credit cards provide more security when transacting online.
Choose a Credit Card or Debit Card, Customize Your Needs
Whatever type of card you use to transact, both debit cards and credit cards, will certainly provide more benefits when applying vigilance to yourself to always be careful saving and using it. However, one thing to remember, credit cards require time lag when transacting online, so this card provides relatively more security. Then, you can consider using a debit card to transact and carry wherever you go.