Xjyuk

I have Visa Gold card like this.

I want to rent a car and I found an interesting offer with Hertz but there is a mention that debit cards are not acceptable, only credit ones.

With my Visa Gold I can go below 0 and have a credit. My card has 'debit' mention that adds some confusion.

I tried to understand the difference between credit and debit card and found that "if there is a mention 'debit' on French card it means that it's equivalent to French credit card with immediate debit". My card is really with immediate debit and I see transactions several days after payment.

Does someone know what really the rental companies mean with "credit cards only, no debit cards"?

TL;DR: The easiest way to find out if you have a "proper" credit card is to ask your bank, rather than the internet at large. (Also, Hertz will only know when they try).

What is the difference?

A credit card is card which has its own credit account. Basically the credit card gives you a line of credit (e.g. 1000 EUR). When you spend 100 EUR, the credit card company pays the merchant, and you then owe the credit card company 100 EUR. You have to pay back that amount eventually, for example at the end of the month.

A debit card is a plastic card that is directly connected to your bank account. When you pay 100 EUR, they are taken out of your bank account and that's it (there are also debit cards where you put in money in advance and spend it later).

What with the car rental?

Credit cards have a unique feature: You can "block" an amount on the card. Car rental companies use that for the collateral. Imagine the collateral for you car is 500 EUR. The car rental company "blocks" the amount.

This means that while no money is paid, the credit card promises to pay 500 EUR to the car rental if asked to. The credit card company reduces your credit limit by 500 EUR.

If you return the car undamaged, the rental company releases the block. If you damage it, they take the 500 EUR and you have to pay.

This does not work with a debit card - with a debit card you can either pay, or not pay, but not "hold".

How to tell the difference

This is where the confusing part starts: Credit and Debit cards are often hard to tell apart. The big payment networks (like Visa or Mastercard) have both credit and debit cards. They work almost exactly the same - except when they don't, like for the car rental.

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  Most importantly: Your bank will know. They know the difference between debit and credit cards, and which one they gave you.


• A card where you pay once a month (or later), or when you decide when to pay back, it is certainly a credit card. However, the reverse is not always true: I have a "proper" credit card, where the amount is paid back a day after each purchase.


• You cannot tell the difference by card number or color. There are some visual indications when the card is a debit card, but since the bank have much freedom in designing the cards you cannot always tell.


• When the card has its own credit limit and account number, it is likely a credit card. However, debit cards can also have daily spending limits, so that is easy to confuse.


• "Going below 0" does not mean a credit card. If you have a line of credit on your bank account, it can go below 0 from a debit card payment as well as from a credit card payment. The important part if the card has a line of credit which is separate from your regular bank account.