Debit Q & A

Can I use the credit part of my debit card to rebuild credit after a bankruptcy or do I actually need a credit card?

Unless you are the owner of one of the rare cards that feature true debit and credit functionality, your debit card will not help you rebuild credit, regardless of whether you answer “debit” or “credit” when asked by a store clerk. When cashiers ask customers, “Debit or credit?” when they use their debit cards, what they are really asking is whether you want to complete your transaction by signing the receipt or entering your PIN. Either way, the money is debited from your checking account. It is not borrowed from the bank and thus does not contribute to your credit history.

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