1. The consumption mode is different: you don't have to pay cash with a credit card, you can overdraw first and then repay. Prepaid cards need to be prepaid before consumption, and cannot be overdrawn.
2. Different repayment methods: credit cards can be repaid every month, and prepaid cards do not need to be repaid. When the amount in the card is used up, the card will be useless, and it will either be recycled by the relevant institutions or collected by itself.
3. Different scope of use: all merchant institutions or enterprises that support credit card payment can use it, and prepaid card holders can only spend it at enterprises or merchants designated by card issuers.
4. Different application conditions: The general credit card application method is to fill in the credit card application form, which generally includes the name, basic information, economic status or income source and basic information of the applicant and guarantor, and submit certain copies and certificates to the issuing bank. Prepaid cards are issued by designated card issuers without personal application, and can be used in the field of commercial services, specifically as shopping vouchers or consumption cards.
Extended data:
Application of prepaid card:
Prepaid card is actually an auxiliary currency. Commonly used in the following institutions:
1, telecommunications industry, such as: mobile, China Unicom, your mobile phone card is a prepaid card;
2. Prepaid cards for contactless chips of Pacific World Expo issued by UnionPay and Bank of Communications;
3. Merchants: shopping malls, supermarkets, catering, entertainment, beauty, hairdressing and other industries;
4. Third-party card issuers: sign agreements with many merchants, deploy POS terminals, and issue a prepaid card for cross-industry consumption, which can be swiped by many alliance merchants;
5. Others
GSM card is a mobile registration card, which is used first and paid later. Of course, GSM can also be recharged. Which month's recharge will offset the phone bill and the arrears. CDMA is a telecom card.
Baidu encyclopedia-credit card
Baidu encyclopedia-prepaid card