Debit cards are linked to your checking account, so that you are free to make purchases or draw out cash. When using a debit card, it’s important to keep in mind how much you have in your account and beware of any fees that you may need to cover for using an ATM outside of your bank’s network.

Credit cards, on the other hand, are structured so that you can purchase now and pay later. Depending on how responsibly you spend, many credit scores –an estimate of how likely a person is to fall behind on a payment by 90 days– range from 300-850, and are a crucial part of how much you’re able to borrow.

Having a better credit score enables lenders to approve larger loans, while also lowering interest rates. In addition to borrowing quirks, you’re also able to access premium rewards, some of which include cash back, travel miles, access to airport lounges, higher status in hotels and travel insurance.

To build up your credit score, it’s best to spend small amounts you’re 100% sure you can pay back, and to treat your credit card like a debit card. Getting into the mindset of spending more than you make is a dangerous way to dig yourself into a hole of unperishable debt.

“If somebody steals your debit card, the bank goes, ‘I don’t know, that’s your money. Don’t really care,’” Codie Sanchez, founder of Contrarian Thinking, entrepreneur and author said. “But with a credit card fraud, two clicks, they erase it. They ship you a new card.”