Debit Cards and Credit Cards are two major components of everyone’s wallet. However, these have key differences and most people may get confused over these differences. Moreover, each of them has exceptional benefits and disadvantages that make them unique. All this is necessary to learn for a new user of any of these cards. Here is a basic illustration of the major differences between these cards, their advantages, and their disadvantages. So, let’s move on!

Key Difference Between A Credit Card and a Debit Card

Though both credit and debit cards make purchases easy and convenient, these have remarkable differences too. Here is the major difference between a credit card and a debit card. 

Having a debit card, you can draw the funds that you have deposited on it to make purchases. On the other hand, a credit card facilitates its users to borrow money from the card issuers at a remarkable interest rate. Moreover, a credit card features more fees and interest rates as compared to a debit card. Also, debit cards are neither a source of debt nor have any bad impact on the credit score of the user. While a credit card puts the burden on debt as well as affects the credit score negatively. These are the major differences between using a debit card and a credit card. 

Pros and Cons of Debit and Credit Cards

Here are the major advantages and disadvantages of credit cards vs debit cards


Here are the pros of using debit cards and credit cards. 

Credit Card Debit Card
1- A credit card helps you make purchases even in a shortage of money.  1- A debit card prevents debt by preventing loan acceptance. 
2- A credit card keeps the credit history.  2- A debit card doesn’t lead to any burden on the credit score through loans or interest. 
3- Its usage has a special security system that protects against any fraud.  3- Debit cards also save fraud and security threats. 
4- It helps the users to get loans for different payments.  4- This payment method leads to proper savings that are otherwise hard or even impossible. 



Here are the possible cons of using debit cards and credit cards. 

Cons of Using Debit Card

Some disadvantages of using a debit card are listed here. 

1- Not an Emergency Funding Source

Unlike credit cards that help the users borrow money from the issuers in the hours of need, despite featuring remarkable interest, a debit card does not offer its users this facility. You can make the purchases just through the money stored in your bank account to which your card is linked. 

2- Zero Reward

Some kinds of rewards can save money but debit cards don’t offer any kind of rewards. 

3- Doesn’t Build Credit History

Credit cards build the credit history but debit cards don’t. 

4- May Feature Some Fees

Though the fees of debit cards are lower, you’ll have to pay some fees to use them. 

Cons of Using Credit Card

Here are some disadvantages of using a credit card. 

1- Leads to Debt 

As credit cards offer money borrowing facilities, these are sources of debt that leads to a burden on the economy. 

2- High-Interest

Most credit card issuers charge a high interest which affects the credit score badly. 

3- Negative Impact on Credit Score

Credit cards lead to debt with higher interest rates that impart a negative impact on the credit score. 


The use of credit cards and debit cards provides remarkable advantages to their users. Both these are not essentially the same. Moreover, these have exceptional benefits and side effects too, and one should learn all these facts before choosing one. We have discussed all these facts in the above section that will surely help you to make a reasonable decision. 


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