Which of the following statements are true? Select the two correct answers. (1 point) Responses Store credit cards co-branded with VISA, Mastercard, or Discover can be used anywhere that those cards are accepted. Store credit cards co-branded with VISA, Mastercard, or Discover can be used anywhere that those cards are accepted. Banks issue credit cards as well as debit cards. Banks issue credit cards as well as debit cards. You can never use a store credit card anywhere else. You can never use a store credit card anywhere else. A credit card from a bank is linked to the user’s checking account. A credit card from a bank is linked to the user’s checking account. Credit cards are the same thing as debit cards.
The correct statements are:
1. Banks issue credit cards as well as debit cards.
2. A credit card from a bank is linked to the user’s checking account.
The correct statements are:
1. Store credit cards co-branded with VISA, Mastercard, or Discover can be used anywhere that those cards are accepted.
2. Banks issue credit cards as well as debit cards.
Explanation:
- The first statement is true. Store credit cards that are co-branded with major payment networks such as VISA, Mastercard, or Discover can be used anywhere that those cards are accepted, just like regular credit cards.
- The second statement is also true. Banks issue both credit cards and debit cards. Credit cards allow users to make purchases by borrowing money from the bank, while debit cards are linked to the user's checking account and allow for direct spending of available funds in the account.
- The other statements are false. Store credit cards can typically be used only at the specific store or retailer that issued them, and they usually have restrictions on where they can be used. A credit card from a bank is not linked to the user's checking account; it is a separate credit line. Finally, credit cards and debit cards are not the same thing, as explained earlier.
To determine which statements are true, let's analyze each statement individually:
1. "Store credit cards co-branded with VISA, Mastercard, or Discover can be used anywhere that those cards are accepted." This statement is true because store credit cards that are co-branded with major credit card companies like VISA, Mastercard, or Discover can indeed be used anywhere those cards are accepted.
2. "Banks issue credit cards as well as debit cards." This statement is true because banks commonly issue both credit cards and debit cards to their customers for different financial needs.
3. "You can never use a store credit card anywhere else." This statement is false. While certain store credit cards may have limitations on where they can be used, many store credit cards co-branded with major credit card companies can be used at any merchant or vendor that accepts those credit cards.
4. "A credit card from a bank is linked to the user's checking account." This statement is false. A credit card issued by a bank is separate from the user's checking account. It is a line of credit provided by the bank, and the user is required to make payments on the credit card balance, but it is not directly linked to their checking account.
5. "Credit cards are the same thing as debit cards." This statement is false. Credit cards and debit cards serve different purposes. A credit card allows users to make purchases on credit, which they must repay later, while a debit card enables users to make purchases by deducting funds directly from their checking account.
In summary, the two true statements are:
- "Store credit cards co-branded with VISA, Mastercard, or Discover can be used anywhere that those cards are accepted."
- "Banks issue credit cards as well as debit cards."