How is a debit card different from a credit card? The thing is that it is these two types of plastic that are in great demand among the population. Only not everyone sees the difference between them. Below we consider the main features of debit and credit cards.
What to look for first? And how to arrange this or that plastic? Read about all this below.
Debit cards
Let's start with the simplest answer to the question - how is a debit card different from a credit card? To answer it, citizens must understand what debit plastic is. In reality, everything is simpler than it seems.
So, a debit card is a plastic tied to a customer’s account. It allows you to make purchases only for the amounts that the citizen currently has.
In fact, a debit card is a kind of repository of cash. Spending more than what is on the account will not work. When you open such a plastic, people open an account and replenish it.
Credit cards
We continue to find out how a debit card differs from a credit card. To do this, specify what "credit card" means.
Such a card allows you to actually make purchases on credit. That is, a credit account is opened with a certain limit. The spent amounts will have to be closed over time by replenishing the card.
Specifications
And the main thing that distinguishes a debit card from a credit one is the characteristics of plastic.
In the first case, the card will only have a service life and a payment system. Most often, people use the "Visa" and "Mastercard". The functionality of the card depends on the payment system. Some debit plastic supports overdraft. These include salary cards.
In the case of credit cards, everything is different. They have:
- Grace period;
- loan limit;
- validity;
- interest rate.
The grace period is the period of use of credit funds without overpayment. The money limit indicates how much you can spend as much as possible. With the interest rate, everything is simple - this indicator characterizes the interest that a citizen will have to pay when repaying a loan.
Commission
Finding out the credit and debit card - what is the difference, we already got acquainted with the main points. But that is not all. The thing is that in the case of credit cards, a citizen is faced with a commission for certain operations. Namely:
- with a monthly commission;
- ATM withdrawal fees;
- for the transfer to a particular account.
If a person has debit plastic, he will be able to use all balance management services without commission fees without any problems. You can also withdraw funds from ATMs, and make money transfers. No extra money will be written off from the account.
Customer age
There is another rather interesting point about how a debit card differs from a credit card. What is it about? The studied plastics can be owned by people of different ages. Debit cards appear in citizens before credit cards.
Ideally, both plastics are issued after 18 years. But some debit cards have been issued without problems since 16 years. With credit cards it’s easier. Under current law, minors under no circumstances can take loans and borrowings. Therefore, they will not be given the appropriate plastic. The exception is cases of emancipation. But in Russia, a similar scenario is extremely rare.
With overdraft
Some are interested in how the debit card of Sberbank differs from the credit one. We have already managed to get acquainted with the main nuances, but the named bank was one of the first to develop debit cards with overdraft. They are somewhat reminiscent of credit cards, but such plastic has significant differences. These include:
- amount of debt;
- loan term;
- the possibility of resuming limits.
Typically, debit cards with overdrafts have a loan term of 2 months, and the loan limit is much less. Often, overdraft is supported on salary plastic.
Debit card
The difference between a debit and a credit card is that a citizen actually pays money on one plastic and then spends, and on the other, everything happens the other way around - first spending, then paying off the debt. Everything is easy and simple.
It is worth paying special attention to such a feature as the design of a particular plastic. The resources studied are also different by this operation.
Let's start with debit cards. The following papers will be required for them:
- passport;
- permission from parents (for persons under 18 years of age);
- legal representative ID (for children);
- statement of the established form.
A citizen must apply to these papers to any bank with which he wants to cooperate. Further, an agreement is signed with a financial organization, after which an account is opened. Done! Plastic will be given to the person in about 2 weeks. The exact deadline must be specified in each bank.
Credit card
All the points listed above apply to any bank cards in Russia. Including the fact, for example, how the Tinkoff debit card differs from the credit one. Despite the lack of branches and remote services, the named bank is one of the most successful in the credit card market.
In order to get a credit card, as a rule, you must contact the bank with the appropriate request. Most often, the applicant is required to:
- identification;
- certificate of registration (preferably);
- documents confirming income (when applying for loans and loans for large amounts, such documentation may be requested);
- statement of the established form.
Tinkoff, on the other hand, only manages to fill out an application online on the Internet, where passport details and the required amount for the borrower are indicated. The main thing is that the applicant must be an adult citizen, then after checking his credit history, he will be able to receive his card at a personal meeting with a courier or by mail.
About citizenship and maps
Speaking about how a debit card differs from a credit card, one more thing needs to be remembered. It refers to the citizenship of the client.
So, debit cards can be opened to everyone. Credit cards are most often issued only to citizens of the Russian Federation. If a foreigner has a residence permit, then he is unlikely to be refused a loan of plastic.
Accordingly, when applying for a particular type of bank card, you will have to clarify what citizenship a person should have. Some financial institutions do not impose such restrictions on the issuance of credit cards. This is a normal occurrence.
Common features
We were able to understand the difference between a debit and a credit card. What common features do similar products have? It's hard to believe, but despite all the differences listed above, these plastics have common features too. For example, these include:
- the ability to arrange multiple product units in one bank;
- Internet banking and mobile banking;
- the right to withdraw funds from ATMs;
- the ability to replenish accounts through terminals and ATMs;
- the right to participate in bonus programs;
- cashback support;
- the right to issue additional plastic;
- informing about expenses and receipts to accounts;
- work with different currencies.
In other words, in general, the cards studied have the same list of valid operations. But credit cards are often more expensive than debit plastic.
Summary
The difference between a debit card and a credit one is that the first plastic is a kind of wallet. And credit cards are a means of quick loan non-cash.
We figured out how to arrange this or that plastic. And the difference between a debit card and a credit card is also clear now. In fact, everything is much simpler than it seems.
What is better to stop? If you do not want to "live in debt", you will have to give preference to debit plastic. For quick loans, it is recommended that you do not issue loans at banks, but plastic cards.