It’s too easy to use my debit card as I would my credit card, so this is a good reminder warning:
Sometimes reaching for your wallet is like a multiple choice test: How do you really want to pay?
While credit cards and debit cards may look almost identical, not all plastic is the same.
“It’s important that consumers understand the difference between a debit card and a credit card,” says John Breyault, director of the Fraud Center for the National Consumers League, a Washington, D.C.-based advocacy group. “There’s a difference in how the transactions are processed and the protections offered to consumers when they use them.”
While debit cards and credit cards each have advantages, each is also better suited to certain situations. And since a debit card is a direct line to your bank account, there are places where it can be wise to avoid handing it over — if for no other reason than complete peace of mind.
Here are the “ten” places the article goes on to expand on:
- Online
- Big-Ticket Items
- Deposit Required
- Restaurants
- You’re a New Customer
- Buy Now, Take Delivery Later
- Recurring Payments
- Future Travel
- Gas Stations and Hotels
- Checkouts or ATMs That Look “Off”