how come credit card bills can be refunded, i.e if you get scammed the credit card company can reverse the transaction but a bank transaction cannot be reversed?

Question

how come credit card bills can be refunded, i.e if you get scammed the credit card company can reverse the transaction but a bank transaction cannot be reversed?

In: 154

Answer 1

With a debit card, you’re paying cash via your banks card. That means that any money that goes out has physically gone out.

With a credit card, the company is paying, and then you’re paying them back for purchases you made. You promised to pay them back for purchases *you* authorized. If you didn’t make those purchases, then you’re not liable to pay them.