Charge Card for Dummies

Alright, so a charge card is kind of like a credit card, but a bit different. With a charge card, you have to pay off the full balance every month, whereas with a credit card, you can carry a balance and pay it off over time. It's important to understand that a charge card doesn't allow you to revolve your balance from month to month, meaning you can't just pay a little bit and carry the rest over to the next month like you can with a credit card. So, if you use a charge card to buy something, you have to make sure you have enough money to pay the full amount when the bill comes. It's like when you go to a store and you have to pay for something before you can take it home – you can't just keep adding to your tab. With a charge card, you're making a promise to pay for what you buy right away. Does that make sense? So, it's kind of like a mix between a credit card and a debit card, where you're not borrowing money like with a credit card, but you're also not using your own money from your bank account like with a debit card. Does that help clear things up a bit?