Payment Methods

Which is an advantage of using cash?

• It is accepted almost everywhere in the UK.

• You can spend more than you have.

• If you lose it, it is gone.

• It is safer than a card or check.

What is a disadvantage of using a credit card?

• It is easy to use.
• You can spend more than you have. 
• It can be used in emergencies.
• Banks sometimes give rewards on credit cards. 

What is the difference between Debit and Credit?

• Debit uses money borrowed from the bank, Credit uses the money you already have.
• Credit uses borrowed money or the bank's money, Debit uses your money.  
• They are both cards, they are the same. 
• Debit charges interest until the balance is paid. Credit does not because you are using your own own money. 

Which of the following is an advantage of using a credit card?

• Interest is charged for the use of a credit card.

• Consumers can purchase things now, and pay for them later in the event of an emergency.

• You could be a victim of identity theft.

The purchase amount is immediately removed from a linked account.

• Debit Card

• Credit Card

• Stored-Value Card

Payments can be made in the future.

• Debit Card

• Credit Card

• Stored Value Card

If you make only the minimum payment each month, you will pay more in interest and it will take longer to pay off the balance.

• Debit Card

• Credit Card

• Store Value Card

The amount in the account

• Balance

• Budget

• Interest

• Financial systems

An estimate of income and bills

• Balance

• Budget

• Benefits

• Debts

A written instruction in writing signed by the bank's customer telling the bank to pay an amount to a named person or business.

• Bankers Draft

• Direct Debit Mandate

• BACs Payment Schedule

• Cheque