Question

You are at the checkout counter at the local supermarket, use your debit card to pay for your groceries, and select “credit” when the cashier asks “Debit or credit?” Where does the money for this purchase come from? *
a) Your credit card company covers the cost

b) It is deducted directly from your checking account

c) Your credit card company provides you with a cash advance to cover the cost

d) It is deducted from your credit card account

Answer 1

Answer:

B.

Explanation:

The checking account is also known by other names such as current account, transaction account, etc. This account helps in immediate access by the owner of the account for transactions. This account is used for immediate transactions when the owner use a debit card, or withdraws cash.

In the given case, the  money will be deducted from the checking account or current account when he use the debit card.

Therefore the correct answer is option B.