If you are confused what is the difference between an ATM card vs Debit card vs Credit card in this article you are going to know in complete detail.
Contents
- 1 What is Atm Card?
- 2 Advantages of using Atm Cards?
- 3 Disadvantages of using ATM Cards?
- 4 What is Debit Card?
- 5 What are the types of Debit Cards?
- 6 Advantages of using Debit Cards?
- 7 Disadvantages of using Debit Cards?
- 8 What is Credit Card?
- 9 What are the types of Credit Cards?
- 10 Advantages of using Credit Cards?
- 11 Disadvantages of using Credit Cards?
- 12 Similarities between ATM Card vs Debit Card vs Credit Card.
- 13 Difference between Debit Card vs Credit Card.
- 14 How to identify between Debit Card and Credit Card?
- 15 FAQ’s
What is Atm Card?
ATM card is a card provided by a bank so that one can withdraw money from the ATM machine with the help of an ATM card.
Advantages of using Atm Cards?
- One can have advantage of using an ATM card is that they can avoid long queues in banks because of that they can save lots of time, energy, and money by not visiting the bank.
- The best part of an ATM card is that one can use it anytime and anywhere and can withdraw money 24*7.
- Banks are also not open 24*7 that’s why with the help of an ATM card anyone can easily withdraw money from an ATM using that ATM card.
- It is effortless to use anyone can easily withdraw money while using the ATM card.
Disadvantages of using ATM Cards?
The two main disadvantages of using ATM cards are as follows
- You can’t do online transactions with the help of ATM cards.
- Also, you can’t get an emergency loan from the bank with the help of this ATM card.
What is Debit Card?
A debit card is a card provided by a bank by which you can withdraw money from an ATM with the help of a Debit card and also you can make payments online using your debit card.
What are the types of Debit Cards?
Some of the popular types of debit cards names are listed below 👇🏿
- Visa Debit Card
- MasterCard Debit Card
- Rupay Debit Card
- Maestro Debit Card
- Contactless Debit Card
Advantages of using Debit Cards?
There are lots of advantages to using a debit card some of which are listed below 👇🏿
- It is easily provided by the bank as soon as one opens an account.
- It is very convenient to use.
- A debit card is highly secured.
- The best part of a debit card is that you can use it online as well as offline payment method.
Disadvantages of using Debit Cards?
There are several disadvantages to using debit cards such as
- You can use a limited amount. I mean to say that you can use that much amount that is available in your saving or current account.
- You can’t do much more transactions with the help of a debit card it has certain limits that one can use for withdrawing cash from an ATM.
- You have to keep in mind the daily usage limit of your debit card provided by your bank.
- You have to pay a penalty if you cross your transaction limit.
What is Credit Card?
A credit card is a card that lends money to people from bank funds and after some period we have to return that amount to the bank. Initially, this credit card is not provided by the bank, one has to apply for the credit card as the documents the needs are fulfilled so that they will get the credit card.
What are the types of Credit Cards?
There are different types of credit cards some of them all listed below 👇🏿
- Gold Credit Card
- Silver Credit Card
- Classic Credit Card
- Titanium Credit Card
- Platinum Credit Card
- Premium Credit Card
- Business Credit Card
- Entertainment Credit Card
- Lifestyle Credit Card
- Rewards Credit Card
- Women Credit Card
- Co-branded Credit Card
- Fuel Credit Card
- Travel Credit Card
- Contactless Credit Card
Advantages of using Credit Cards?
There are lots of advantages to using credit cards such as
- You can get points while using a credit card as a payment method.
- When somebody uses credit cards they get cashback from some platform such as Amazon, Flipkart, MakeMyTrip, and so on provides cashback for using a credit card.
- You get money without interest from someone for sometime ,you get restaurant and flight ticket offers too.
- If your credit score is good you can take advantage for taking any loan easily.
Disadvantages of using Credit Cards?
There are dangerous disadvantages of using credit cards yeah I am using the word dangerous ☹️
- If you don’t pay the credit card money on time you can have to pay the interest rate which can go up to 30% or 40% or maybe sometimes up to 52% 😰 it is true.
- If you cross your minimum credit spending limit then also you have to pay interest on it.
- If you withdraw cash from an ATM with the help of a credit card then also you have to pay a huge penalty.
Disclaimer:- Think thousands of times before having a credit card I am saying again think thousands of times before having a credit card.
Similarities between ATM Card vs Debit Card vs Credit Card.
The only similarity between ATM card vs debit card vs credit card is that you can use all of them for using payment.
Difference between Debit Card vs Credit Card.
| Sr.No | Debit Card | Credit Card |
| 01. | Many peoples have debit cards. | Few peoples have credit cards. |
| 02. | The debit card is provided by the bank initially. | Credit card is not provided by the bank initially unless the customer demands them. |
| 03. | You can withdraw money from your saving or your current account. | You borrow money from bank funds. |
| 04. | You don’t have to pay the charge for withdrawing money from an ATM. | You have to pay the charge for withdrawing money from an ATM. |
| 05. | There are no extra benefits to using debit cards. | Cashback, reward points, and ticket offers are some extra benefits of using credit cards. |
How to identify between Debit Card and Credit Card?
Whether you are using a debit card or a credit card at the top, the name of the card is written as a credit or debit card.
FAQ’s
Is ATM card, Debit card, and the Credit card the same?
Not at all, all are different and for different purposes.
Can debit cards be used as ATM cards?
Yeah, you can use the debit card as an ATM card.
Can I use an ATM card for shopping?
You understand what you are trying to say 😂 ATM card as the name suggests ATM card is only for the withdrawal of money with the help of an ATM. You can’t use that ATM card for online transactions this is what the difference between an ATM card and a debit card is.
Can I withdraw money from my Credit Card?
If you want to use a credit card as a payment method you can do that. But if you want to withdraw money from the credit card you can’t do that and if you do you have to pay a good amount of interest.
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