Why do people use debit cards instead of credit cards?

Credit card payment in pharmacy. Have credit card debt to pay off? Reach for your debit card instead. (Getty Images). Debit or credit – rarely do we give the choice a second thought. read more

Some people I know use debit cards instead of credit cards to prevent overspending. If overspending is a worry of yours then staying away from credit cards is a great idea. Paying 25% in interest is just bonkers. read more

I can’t speak for others but I use credit cards instead of debit cards because of the following reasons: Deferred payment; Rewards; More safety / greater fraud protection. #1 and 2 are fairly well known benefits of credit card compared to debit card. Only the third point needs elaboration. Credit card is safer than debit card. read more

If you have no credit or are trying to improve your credit score, using a credit card responsibly will help, because credit card companies will report your payment activity to the credit bureaus. Debit card use doesn't appear anywhere on your credit report, however, so it can't help you build or improve your credit. read more

With a debit card, you instead get the opportunity to earn interest. Many banks and credit unions offer customers and members a range of interest-bearing checking accounts, with annual percentage yields that accrue dividends as you go about your banking business (like using your debit card). read more