A ____, offered by companies such as American Express, carries no spending limit, and the entire amount charged to the card is due at the end of the billing period.

Question

Quizplus · Accepted Answer

The description fits that of a charge card, offered by companies like American Express. Charge cards have no preset spending limit and the entire balance must be paid off by the end of the billing period. Credit cards, on the other hand, do have a credit limit and allow users to carry a balance and pay it off over time, often with interest. Debit cards are linked to a checking account and draw on funds in that account, while smart cards have a microchip that can store encrypted information, but they do not necessarily have the same payment terms as charge cards.

A ____, Offered by Companies Such as American Express, Carries