Credit card vs debit card

[sda]

Hi,

Is using debit card more effective or is using credit card? What are the pros and cons for using debit card? What are the pros and cons for using credit card?

[something_else]

If you use a credit card properly it has lots of benefits.

• It increases your credit score
• often you get rewards in the form of air miles or cashback
• it can make it easier to manage your month to month finances since everything comes out of your bank account in one big sum
• you have significantly increased purchase protection since if you get scammed, card-swiped etc. you'll always get the money back

Using it properly just means paying it off in full every month and not letting any interest build up at all.

[Joshe]

Credit card is the way to go. Debit cards open you up to being scammed. If a CC becomes compromised, you don't have to worry about your bank account getting drained. 

That's the main reason to use a CC instead of debit. Plus, it boosts your credit score, which can come in handy. Just be sure to pay it off every month. 

[Natasha Tori Maru]

One other con that isn't listed (not sure if this applies in the US, I'm Australian) but a credit card is counted as a debt against you (regardless of balance) if you ever go for a bank loan.

[Staples]

It really depends on the bank and the country you're in. Just read your bank's credit card product page.