Debit vs. Credit

Debit Cards use

• Money from the bank

• Money from your account

Credit Cards expect you to....

• Pay the money now

• Pay the money back later

With Credit Cards, if you don't pay the money back in full...

• Nothing happens

• You will pay interest charges

Debit = buy now pay later

Credit = buy now pay now

• True

• False

Both Debit & Credit use your own money to make purchases.

• True

• False

Credit Card can charge up to 25% in interest charges.

• True

• False

Debit Cards = can charge Overdraft fee if you spend more than you have in your account.

Credit Cards = can charge you Late fees if you make your payment late.

• True

• False

What is the current balance on this card?

• $50.00

• $100.00

• $523.20

• $873.20

What is the minimum payment due?

• $15.00

• $25.00

• $35.00

• $45.00

• $55.00

How much should you pay to avoid ALL interest charges?

• The minimum payment due.

• The maximum you can afford.

• The balance in full.

• No payment is necessary.