The difference between a charge card and a credit card.

A charge card is a type of credit card. When you take a charge card you agree to pay off the balance in full each month when you receive your statement. There are no interest percentage rates posted since the company does not expect you to carry over the balance into another 30 day period.

That is the big difference. A credit card allows you to carry over most of your balance without penalties. You must pay interest on the carry over, of course. Credit card company are very happy when you carry over the balance. In fact they encourage you not to pay much since there is always the option to pay the minimum that is a very small amount compared to the whole amount.

Ironically, if you have a charge card your credit score may be reduced. Why? Because a large factor in determining your score is the amount you have borrowed versus the amount of credit you have. If you have no limit, as American Express does on its charge card, then your score will drop.

Our Credit Card Articles
I lost my credit card! What do I do?
How To Make Your Debt Management Plan Work
Government Grant basics
Don't Ignore the Debt Collectors
Bankruptcy Alternatives
You Can Build Your Credit Score with A Secured Credit Card
Sensible Household Budgeting Tips
Don't Allow Debt Stress To Ruin Your Mental and Physical Health
Creating Money Quickly
Debt consolidation loans – they can work for you
Filing For Bankruptcy - What Does This Really Mean?
How To Get A Loan With Bad Credit
Get A Valuable Free Credit Report
Ignore Your Bills - Don't Be Stupid!
Negotiation Tips To Lower Interest Rates On Credit Cards
Credit Repair Services Can Help You Change
Credit Repair - Easy As 1-2-3
Pay your bills on time for a higher credit score
Check your credit score regularly to keep it high
What are the differences between Chapter 7 and Chapter 13 bankruptcy?