Difference Between Credit and Debit Cards

Debit cards take money directly out of your account and you can't spend any more money than you have in there. Credit cards allow you to borrow money and do not pull cash out of your bank account. However, for every month that you don't pay back the money in full, you will be charged interest on any remaining balance. 

Types of Credit Cards: 

• Travel Rewards Cards: These credit cards offer points based on the amount of money you spend on the credit card. These points can then be used for flights, hotels, and even rental cars. 
• Cash Back Cards: With these types of cards, every month you would earn a small portion of your spendings back in either cash, or a credit to your statement. 
• Balance Transfer Cards: These cards are used when you have balances on other cards with high interest rates. You would transfer those balances to this card with a lower interest rate to save money, help you pay back your debt, and increase your credit.
• Low or No APR Cards: This card is for if you routinely carry a balance each month. Using this card rather than other cards can save you a lot of money on interest payments.