Written by: M Katie Helle, CPA
A credit card allows you to borrow money, up to a certain limit, to make purchases and cash advances. When you use your credit card, you are agreeing to pay back the full amount borrowed, which can be done gradually.
Although you must be 18 yrs. old to have your own credit card, with the help of a parent or guardian, some banks offer Teen cards to 16–18-year-olds, which have a small credit limit.
In the case of a debit card, you are using your own money to pay for your purchase as it is typically linked to and draws from your bank account.
Teens as young as 13 may be able to get a debit card, with the help of a parent or legal guardian.
Click to learn more…https://www.creditkarma.com/credit-cards/i/what-is-debit-card/
More to know…If you are too young to have a credit history and are trying to build one, a debit card won’t help with this, it’s best to stick with a credit card. Additionally, a credit card provides more security for you. If someone who is not authorized to use your credit card (like a thief!) does use your credit card, you can stop payment for the charges until investigated. HOWEVER, if a thief uses your debit card, they can take all of your money out of your account in a matter of minutes. Poof, just like that your account has a balance of zero!
*************************************************************************************************************
Katie Helle has been in public accounting since 2009, with experience in individual and small business taxation, specializing in payroll and sales tax reporting and compliance and QuickBooks accounting software. She is an Arizona native and resides in Chandler, Arizona with her husband, young daughter, and two goldendoodles. Outside the office, she is actively involved with community outreach, enjoys fitness, and can be found with a power tool or two in her hand for her many crafts.