Question

1. identify if each statement in the table below describes a debit, credit, or prepaid debit card.

statement	debit	credit	prepaid debit
b. spending limit is how much is preloaded onto the card
c. helps build credit score
d. great for travel
e. spending limit is set by how much is in your checking account
f. charges interest on balances
g. may have rewards programs

Explanation:

a. Debit cards can let users overdraw accounts, incurring fees.
b. Prepaid debit cards have spending limits equal to preloaded funds.
c. Credit card usage reports to bureaus, building credit scores.
d. Credit cards are widely accepted abroad, ideal for travel.
e. Debit card spending is limited to linked checking account funds.
f. Credit cards charge interest on unpaid monthly balances.
g. Credit cards often offer rewards for spending.

Answer:

STATEMENT	DEBIT	CREDIT	PREPAID DEBIT
b. Spending limit is how much is preloaded onto the card			X
c. Helps build credit score		X
d. Great for travel		X
e. Spending limit is set by how much is in your checking account	X
f. Charges interest on balances		X
g. May have rewards programs		X