Credit and Debit Cards

Lexi Ruh 7

The Difference

A debit card takes money directly out of your checking account. A credit card lets you borrow money with the promise of paying it back by a monthly bill. A debit card is your money and a credit card is money from the credit card company.

Positive Credit HIstory

- Set a budget and live by it.

- Pay your bills on time and in full.

- Keep your balances well below your credit limits.

Manage Your Money

Advantages and Disadvantages



-Instant cash

-Low cost loans


-Unexpected fees

-High-Cost fees

- Overuse

Annual Persentage Rates

APR is a single percentage number that represents the actual yearly cost of funds over the term of a loan. This includes any fees or additional costs associated with the transaction. APR is important because it lets you know the general amount of money you are going to owe.

EX: If you purchase an item that costs $260 and you APR is 18%, you plan to pay $50 a month it would take you 6 months to pay it off and you'd pay a total of $272.73

Credit Reports

You can get free credit reports at TransUnion, Equifax, and Experian once every 12 months from It is important to do them so that you can check for errors. if you find an error you should contact your credit card company as soon as possible.

Financial Dificulties

If a borrower is experiencing financial difficulties then they should find a credit counselor or ask someone for help. 800-769-3571