Debit vrs. credit cards

 I had a question this week about debit cards and credit cards which is better? Like most things there’s pros and cons for both. Here’s some basic information. If your debit card is stolen or used without permission, it falls under the Electronic Fund Transfer Act. If you tell your bank before any charges are made, you won’t lose anything. If you tell them within two business days, the most you’ll lose is $50. If you tell them after the two-day mark but within 60 days of getting your statement, your maximum liability is $500.But if you tell your bank after that 60-day point, there’s no limit to how much you can lose.

Now if your credit card is stolen or used without permission, it falls under the Fair Credit Billing Act. If you tell the company before any charges are made, you’re not liable for anything. If you tell them afterward, the most you can lose is $50, and it probably won’t even be that. That’s because the four major card companies — American Express, Mastercard, Visa and Discover — all have $0 fraud liability policies. And remember when you use your debit card funds come out automatically. With a credit card the process takes longer usually until you pay your bill.