What is the difference between “Debit and Credit”?

It’s time to pay for groceries at the supermarket. You tell the cahier you’re paying with your Mt. Washington Debit MasterCard™. He then asks “Debit or Credit?”

Ever wonder why you are asked this question?

The merchant is simply asking how you would like the transaction to be processes. No matter how you respond – “debit” or “credit” – the purchase will deduct for your CHECKING account. In other words, if you say “credit”, the purchase will NOT get billed to a credit card.

What is the difference?

CREDIT – If you say “credit”, the transaction is processed through the MasterCard™ network and you will sign a receipt.

DEBIT – If you say “debit”, the transaction is processed through the ATM network and you must use a personal identification number (PIN).

If you do not want to give your PIN number for security reasons and you want a signed receipt, say “credit” and the transaction will be processed through the MasterCard™ network. The amount of your purchase will be deducted from your Mt. Washington Bank checking account whether you choose ”debit” or “credit”.