Question

question 8 of 10
which statement is true of both credit cards and debit cards?
a. they are accepted by all merchants.
b. they are linked to a checking or savings account.
c. they have unlimited lines of credit.
d. they offer convenience and fraud protection.

Explanation:

• Option A: Not all merchants accept all credit or debit cards. Some may only accept certain brands.
• Option B: Credit cards are not linked to a checking or savings account in the same way as debit cards. Debit cards directly access funds in a checking account, while credit cards are a form of borrowing.
• Option C: Credit cards do not have unlimited lines of credit. The credit limit is set by the issuer based on the cardholder's creditworthiness.
• Option D: Both credit cards and debit cards offer convenience as they can be used for purchases without carrying cash. They also offer some level of fraud protection. For example, if a card is lost or stolen, the cardholder can report it and be protected from unauthorized charges (although the specific protection details may vary).

Answer:

D. They offer convenience and fraud protection.