Final answer:
Plastic money like debit cards, credit cards, and smart money are different ways to move money when making a purchase. A debit card is tied directly to your bank account, while credit cards function as a short-term loan.
Step-by-step explanation:
Plastic money like debit cards, credit cards, and smart money are different ways to move money when making a purchase.
A debit card is tied directly to your bank account, allowing you to access your funds easily when making a purchase.
Credit cards, on the other hand, function as a short-term loan from the credit card company. When you make a credit card purchase, the company transfers money from its checking account to the seller, and you receive a bill at the end of the month.