Credit and Debit Cards

Front

What is a credit card?

Back

A credit card is a card that allows you to borrow money from a bank to make purchases, which you must pay back later.

Front

What is a debit card?

Back

A debit card is a card that allows you to spend money directly from your bank account.

Front

What does PIN stand for?

Back

PIN stands for Personal Identification Number, a security code used to authorize transactions.

Front

What is a checking account?

Back

A checking account is a bank account where you can deposit and withdraw money easily using checks, debit cards, and ATMs.

Front

When using a debit card, whose money are you spending?

Back

You are spending your own money.

Front

Which card is linked directly to your bank account?

Back

A debit card is linked directly to your bank account.

Front

What happens if you use a credit card and don't pay it back?

Back

You will owe the bank money, and may incur interest charges.

Front

Can you use a debit card to withdraw cash?

Back

Yes, you can use a debit card to withdraw cash from ATMs.

Front

What is the main difference between credit and debit cards?

Back

Credit cards allow you to borrow money; debit cards use your own money.

Front

What is an example of a situation where you would use a credit card?

Back

You might use a credit card to make a large purchase that you plan to pay off later.