Credit cards and charge cards differ in two important ways. one is the method of payment. what is the other difference? you can get a credit card from your bank but not a charge card. you have to pay interest on charge cards but not on credit cards. you have to pay interest on credit cards but not on charge cards. nextreset

3rd Option is correct - You have to pay interest on credit cards but not on charge cards.

Some Key points about Charge card:

1. Charge cards works on the assumption that  amount will be payed full every month.

2. In case of Charge cards  heavy late payment fees to be payed.

3. Charge cards don’t have any interest rate.

4. Charge cards don’t have spending limits.

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