8th Grade Debit v. Credit Cards

This card is linked to a checking account

• Credit

• Debit

• Both

Users can set up a personal security code called a PIN number

• Credit

• Debit

• Both

Customers spend the money in their accounts at the time of purchase

• Credit

• Debit

• Both

Users borrow money on the card and pay it at a later time

• Credit

• Debit

• Both

Purchases are subject to interest charges if the balance is not paid in full

• Credit

• Debit

• Both

Users can ask for cash back at the time of purchase

• Credit

• Debit

• Both

Brady took his family out to eat. He handed the waitress a card to purchase the meal. This charge appeared on a bill that he paid three weeks later. What type of card is this?

• Credit Card

• Debit Card

• Credit Card & Debit Card

The cost of borrowing money is referred to as

• Interest

• Annual Percentage Rate

• Credit

• Credit Line

Credit Cards are great ways for you to get cash from a bank ATM machine

• True

• False

Each purchase is a loan that is repaid later

• Debit card
• Credit card
• Both