At this point, we should ask ourselves if it is better to use the credit or debit card for those online purchases. Both from the point of view of ease of use and security issues, one can be placed above the other, but finance experts have a clear choice.
Advantages and disadvantages of the debit card
The debit card is probably the one that everyone has used for the first time in life. Its characteristics are simple, it is simply a means of payment that is limited to the amount of cash available in the account.
In this way, it does not generate indebtedness and in most financial entities its use does not entail any type of commission, since the bank or box is not providing us with said money, but rather it was ours by right before making the payment of the purchase. and we are only disposing of it in the transaction.
On the issue of security against possible fraud or theft of data when paying, there is a widespread belief that they are better for paying via the Internet since, if used without consent, the amount of money invested will be finite. There will be a limit that will be our own account balance current.
However, for this very reason experts such as Matt Schulza bank card expert who works for the American loan company LendingTree, think it is the worst optionsince, effectively, they will be stealing real money:
“If someone gets your debit card information and uses it fraudulently, they are stealing real money from a real account. You will most likely get that money back, but it can take a little while, and if you have bills that are due before you get that money back, you can be in a really tough spot.”
Advantages and disadvantages of the credit card
In the case of credit cards, we talk about the fact that it is the bank that grants a credit —hence its name— and advances us the money for the purchase we make, with different forms of return: revolving, fixed fee, payment at the end of the month, etc. Obviously, by providing these services and putting money out of your own pocket in the first place, the bank will later recover the debt and with interest.
The main inconvenience, both in the health of your finances and in the event of an identity theft for which they buy with your card, is the same: the limit of possible purchases skyrockets, a debt is generated and the amount can be infinite in the rare case of having no limit, or, more frequently, exhausting all the credit line agreed with the financial institution, generally between 600 and 3,000 euros per card.
In the first case, we can only recommend you to buy according to your economic possibilities. In the second, however, we would have to worry a little less than if we paid with a debit card. Although the acquired debt at first it will be assigned to us, once it is proven that certain purchases have turned out to be fraudulent, it will be the bank that has momentarily lost its money.
It is understood that in this case it will always be easier to finally trace the origin of the purchase and may even cancel the entire process, even allowing it to be possible to report the cyber criminal who committed the crime.
“When in doubt, it’s definitely safer and less risky to use credit in most cases.”
Another of the great advantages of paying (on the date and in the form) with a credit card is that it will go increasing credit score with your financial institution, which can be used in the future if you need to apply for personal loans or mortgages.