- A credit card statement is a document that shows the transactions made using a credit card during a specific billing period.
- Credit card statements typically show the balance due, the minimum payment due, and the due date.
- Credit card statements also show the interest charges and fees incurred during the billing period.
- Credit card statements may include a summary of the rewards earned during the billing period, such as cashback or points.
- Credit card statements usually include a list of all transactions made during the billing period, including the date, merchant, and amount.
- Credit card statements may also show any credits or returns made during the billing period, such as a refund for a returned purchase.
- Credit card statements may include promotional offers or discounts available to the cardholder.
- Credit card statements may show any changes to the terms and conditions of the credit card account.
- It is important to review credit card statements carefully to ensure that all transactions are accurate and to identify any unauthorized charges.
- Credit card statements can be accessed online or received in the mail. It is a good idea to set up account alerts to receive notifications of important account activity, such as when a payment is due or when a credit card balance reaches a certain threshold.
Difference Between Credit Card and Debit Card
A credit card and a debit card are both types of payment cards that can be used to make purchases and withdraw cash. However, there are some key differences between the two types of cards:
- Credit cards allow the cardholder to borrow money from the credit card issuer to make purchases or withdraw cash. The cardholder is required to pay back the borrowed amount, plus any interest charges, at a later date.
- Debit cards, on the other hand, are linked to a checking or savings account and allow the cardholder to make purchases or withdraw cash by using the funds that are already available in the account.
- Credit cards usually have a credit limit, which is the maximum amount of money that the cardholder can borrow from the credit card issuer. Debit cards do not have a credit limit as they are linked to an account with a specific amount of money.
- Credit cards often come with rewards programs, such as cash back or points, which can be redeemed for various perks. Debit cards typically do not offer rewards programs.
- Credit cards may have annual fees or other charges, such as interest charges on unpaid balances. Debit cards do not have annual fees or interest charges, although some may have fees for certain services, such as overdraft protection or foreign transaction fees.
- Credit cards offer more protection against fraud and unauthorized charges than debit cards. If a credit card is lost or stolen, the cardholder can report the loss and will not be held responsible for any unauthorized charges. If a debit card is lost or stolen, the cardholder may be liable for any unauthorized charges if the loss is not reported promptly.