Charge cards are typically issued without spending limits whereas credit cards always have a specified line of credit that the user may not exceed for purchases, its a major difference between charge card and credit card.
If we talk about history, the charge card was first issued by Western Union in 1914. After that the American Express was the first company to issue embossed plastic charge cards.
Benefits:
Charge cards have all of the major benefits of credit cards.
- Charge card is very similar to a credit card but in features manner its totally different from the credit card.
- It has to be paid in full at the end of each month.
- This card is helpful in budgeting on a monthly basis how much you can afford to spend.
- It always helpful in emergency situations because it allows you some freedom you may not otherwise have.
- The charge card is very convenient to make purchase everywhere.
- The cards also permit the customers to make purchases online instead of having to stand in line at a retail store during the holiday season.
- You can also receive privileges, depending on the card, that include free travel insurance, extended warranties, purchase protection or access to business lounges in airports.
- You can also use your charge card for everyday necessary purchases, such as gas, to avoid bank charges from using your debit card.
