Which type of bank card immediately deducts payment for purchases from the cardholder’s checking account? (1 point)

Question

Responses

credit card

debit card

loan card

smart card

explain which is correct

Answer 1

The correct answer is debit card. Debit cards immediately deduct payment for purchases from the cardholder's checking account. Unlike credit cards, which allow the cardholder to borrow money up to a certain limit, debit cards only allow the cardholder to spend money that is already in their checking account. This way, the cardholder does not accumulate debt and the payment is deducted directly from their account.