why debit cards do not enjoy the same protections against theft and fraud as credit cards?

Question

Those protections are the main reason it’s recommend to use credit cards instead.

But it doesn’t make sense to me, why would I borrow money (credit) if I had it (debit)?

My guess is that banks deliberately do this so people can accidentally spend more money than they have and companies start charging interest.

In: Economics

Answer 1

>why would I borrow money (credit) if I had it (debit)?

Because many credit cards come with perks if you use them. If you have the cash money to immediately pay off your credit card before you incur any interest, you are literally losing money by not using your credit card.

I’ve amassed several thousand dollars worth of flight credits simply by using my credit card for regular purchase and I have paid a grand total of $0 in interest.

There’s all kinds of different rewards. Cash back, travel/flight credit, etc. Just depends on the specific card you have.