Charge card

A charge card is a type of payment card that differs from a credit card in significant ways. It does not have an interest rate nor a credit limit. However, you must clear the outstanding amount in full every statement month.

Failing to do so may incur high interest charges and late fee, and could even result in the charge card account being cancelled altogether.

Charge cards usually include similar perks and privileges as those offered by credit cards. However, charge cards usually have high income requirements and appeal to high earners and high spenders.