credit cards

What is a gift card?

 

What is a gift card?

The Bankrate.com financial term of the day is: "Gift Card."

A gift card is a plastic present that holds money. It's a prepaid debit card that's given as a gift and often can be used only at the store that issued it. But major credit cards issue gift cards, too, and they can be used wherever the credit cards are accepted.

A gift card is similar to a credit card, but the balance isn't money that you owe but is money you can use, sometimes at just one store.

To shop for the perfect credit card, visit the credit cards section at Bankrate.com.

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