Which term describes a card that authorizes the user to borrow funds to purchase goods or services and is issued by banks or retailers?

• A. Debit Card
• B. Bank
• C. Assets
• D. Credit Card

Answer: (D)

A card that lets you borrow money to buy things is a credit card. It works by giving you access to a line of credit issued by a bank or a retailer, so you can pay for purchases now and repay later, often with interest if you don’t pay the balance in full each month. This is different from a debit card, which draws funds directly from a linked bank account and doesn’t involve borrowing. The other options don’t describe a card that allows borrowing: a bank is a financial institution, and assets are items someone owns, not a card.