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At the latest when you fly on holiday, a credit card is a very popular and simple means of payment. With the plastic card, services or goods can be paid for conveniently without the use of cash. This saves you a lot of money, especially when you are abroad, when you withdraw cash. You can also use the card to withdraw money from ATMs. Consumers can choose between different credit cards with different conditions. When concluding a contract, prospective customers should pay particular attention to the details in the offer so that there are no surprises when the credit card is charged.

What types of credit card statement are there?

The credit card statement is roughly comparable to a bank statement. This shows all sales that were generated when the payment method was used. Depending on the settlement type, the period and conditions for credit card settlement are determined.

Credit card settlement types in the overview:

Generally, a rough distinction is made between four different accounting systems. Most credit institutions group the card types mainly in the categories charge, revolving, debit and prepaid card.

Charge card

The charge card is one of the most commonly used forms of credit card in this country. The holder of the payment method receives a credit card statement once a month. This statement shows all transactions made with the card. The cardholder must pay the invoice amount on the due date. The charge card offers the advantage of an interest-free loan for a short-term period, usually until the end of the month. In most cases, credit card holders have to comply with the monthly limit set. This increases the withdrawal limit. Some banks often offer credit card interest for the contract modalities of this type of credit card settlement.

Revolving card

The revolving card works similar to the charge card. However, it is possible to pay off the total amount due in small instalments. There are also differences in the amount of the instalments. Some institutions set a percentage of the turnover made. Others offer a repayment by means of a fixed amount.

Cardholders must also pay interest if the balance is permanently negative. These are determined by the lender. As a rule, the interest rate is expected to be high compared to many other credit offers. In addition, a credit assessment is usually carried out internally when a long-term loan is used. The advantage of this type of credit card settlement is that the account can be completely cleared at any time without additional costs.

Debit and prepaid card

In addition to the credit cards already mentioned, there is also the possibility of using a deposit or prepaid card. The debit card as a credit card works similar to an EC card. It is often issued as a bank account card. However, it can also be found among the credit card billing types. The advantage is that it can be used for withdrawals from cash machines. An interest-free loan for a certain period of time cannot be obtained with it, however.

In contrast, the prepaid credit card works on a credit basis. This card also eliminates the possibility of an interest-free loan. However, customers benefit from its worldwide acceptance and the opportunity to use it to make online purchases at will both within and outside Europe.

Credit card billing: advantages and disadvantages at a glance

All billing types have advantages and disadvantages, which are listed below:


  • worldwide acceptance
  • selectable in almost all online shops and payment options on the Internet
  • all debits and credits at a glance
  • Overview of international use
  • Exchange rates for foreign currencies can be seen
  • in the event of theft, immediate blocking and replacement card possible (especially advantageous for stays abroad)
  • secure means of payment – in case of misuse by third parties, an insurance can help


  • high interest rates when taking out long-term loans
  • annual fee for some cards
  • Current account required as settlement account

Why should you regularly check your credit card statement?

Although credit card fraud is not the rule. However, it does happen that criminals get hold of important credit card data through dubious machinations. If you don’t use your credit card that often, but only use it to pay when you’re abroad or on holiday, you should still check your credit card statement from time to time. Even when you charge small amounts that you cannot allocate, fraud may be involved. The debit of higher sums could be the result. In the event of a verifiable false entry, get to the bottom of the matter and report it to the police immediately. You will need the file number to present it to the bank. You will then be reimbursed for all amounts covered by the company’s insurance.

You should observe these rules when checking your credit card invoice:

  • Go through your bank statements periodically.
  • In the case of unknown debits, it is best to ask the bank immediately.
  • Have your credit card blocked in the event of incorrect transactions that cannot be resolved.
  • Report the matter to the police.
  • Contact the bank and ask for a refund of the missing amount.

Credit card statement types can be used for different purposes

Currently there are more possibilities to make a payment than ever before. You are almost spoilt for choice when it comes to the different types of settlement. The important thing is that you use the offer that best suits your needs. If you always need a short-term deferral of payment in between, a revolving card is the right choice for you, with which a repayment of the invoice amount is possible in small instalments.

Card users who shy away from the high interest rates are better off with a charge card, as the borrowed money remains interest-free and the repayment is due at a certain time. The debit and prepaid card is a good way of settling money quickly and securely despite a lack of creditworthiness, and of being able to make payments abroad.