Credit cards are different from the debit cards
When you approach your bank for a card, you will often come across two types.? One is the credit cards and the other type is the debit cards. The basic difference between the credit cards and debit cards is that in case of the former you are dependent on the provider who fixes up a credit limit for you. On the basis of such credit limit you can spend money till you reach that limit. Till that time it is the provider who pays the money. You pay back the amount later with small charges for using the credit card. If your limit is Rs.10,000, you can go on transacting till the amount is reached.
Credit cards are more popular and you find every day some bank or other coming up with one like the icici launch a new card.
Debit card is different since here you are not dependent on the provider.? On the other hand the validity of debit card is dependent on the account balance you have with the provider. You can use it like the credit card for transactions but cannot go beyond your own financial accounts limits in the bank or with the provider.? For example if you have Rs.10,000 in your bank, you can only spend up to Rs.9.500 with your debit card. This is because you have to leave a minimum balance of Rs.500 in the account to keep it alive. However in case of both credit cards you require clean credit history as the provider is at risk. You do not require any such clean history for debit cards.?