Are credit cards more secure than debit cards?

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asked Jun 14, 2020 in Credit by Fdoginaplane (400 points)
Are credit cards more secure than debit cards?

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answered Jun 15, 2020 by JJSazmei (700 points)
Credit cards are more secure than debit cards because with a credit card you're using someone else's money and not your own money at the time of purchase.

If someone steals your credit card information or your credit card and uses it then the money won't come out of your bank account and be completely lost.

With a credit card the money comes out of a credit card companies bank account to pay for the purchases.

So if you lose a credit card or someone steals credit card information and makes purchases then you can stop the credit card and if you report the credit card as stolen or lost then you won't be liable for any unauthorized charges.

When you use your debit card as credit the only thing that happens differently is the way the transaction goes through.

When a debit card is run as credit card transaction the money takes a few days to come out of your bank account and with a debit card transaction the money comes out of your bank account right away.

So if you have a debit card and you don't have the money in the bank account and you run your debit card as debit then the transaction will be declined.

But if you run the debit card as credit then the transaction will go through usually and the money will be taken out of your bank account a few days later.

But if you have no money in your bank account to pay for the transaction then your bank account will be overdraft and you'll pay an overdraft fee.

When you make a purchase and select to process your payment as credit, it’s an offline transaction. “The funds for offline transactions are deducted after the merchant settles the purchase with the credit card processor and typically take 2-3 days to be reflected in your account balance.

When you use your debit card and your PIN (personal identification number), the transaction is completed in real time.

That’s also known as an online transaction and you authorize the purchase with your PIN, and the money is immediately transferred from your bank account to the merchant.

These are debit card transactions.

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