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Credit vs Charge card

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Anonymous
Not applicable

Credit vs Charge card

I was looking at my TU report from Annualcreditreport.com and it showed that my walmart card is a charge account while my wells fargo card is a credit account.

 

What are the differences between the two accounts and which card(s)  would be better to have, if one is better than the other? (between the charge and the credit card)

 

Thanks for the help! Smiley Very Happy

Message 1 of 5
4 REPLIES 4
Wolf3
Senior Contributor

Re: Credit vs Charge card


@Anonymous wrote:

I was looking at my TU report from Annualcreditreport.com and it showed that my walmart card is a charge account while my wells fargo card is a credit account.

 

What are the differences between the two accounts and which card(s)  would be better to have, if one is better than the other? (between the charge and the credit card)

 

Thanks for the help! Smiley Very Happy


Your credit report may or may not be right about Walmart.    

 

Credit cards allow you to carry a balance and pay over time, usually with interest.

 

Charge cards don't allow you to carry a balance, so the statement amount is the amount due by the due date.

 

Some cards have both features, like some AMEX charge cards allow paying over time for certain purchases.   Signatures cards require payment in full for amounts over the normal CL.

 

Message 2 of 5
bichonmom
Senior Contributor

Re: Credit vs Charge card

I've noticed the wording varies sometimes among the 3 bureaus; however it is still a revolving credit card, and not a "charge" card like Amex zync, green, etc.

 

My Zync reports in a different section of the credit report than my revolving/credit cards do. EQ puts it under "other" instead of "revolving." EX lists it as a credit card, but no CL. Each Bureau has their own system and wording.

 

Don't let it confuse you. Both cards you have are credit cards.

 

 

 

 

EQ FICO 750 | TU FICO 761 (Walmart) | EX FAKO 767 | Goal: 800+

Edits, funky spacing and spelling due to my iPad not getting along with the forum editor!

Message 3 of 5
Mailak
Frequent Contributor

Re: Credit vs Charge card

My Macy's reports as a charge card with revolving limit (two fields, one for type of card and one for type of limit). I wonder if store cards report as "charge."

PenFed Platinum Cash Rewards (19.5k), Amex BCE (9k), Chase Sapphire Reserve (30k), Chase Freedom Unlimited (14.5k), Chase Marriott Premier (19k), Discover More (10k)
Message 4 of 5
Anonymous
Not applicable

Re: Credit vs Charge card

Ahh, that makes perfect sense! Thank you.

 

So my walmart card might actually just be a credit card, for use at walmart stores only.

Message 5 of 5
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