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This question comes from Allen in Pennsylvania. He says, hey y'all. I've recently seen

companies advertising cashback debit cards. I'm in the process of transitioning out of using a

credit card for day-to-day purchases. My question is, how does a cashback debit card work? And where's

the money coming from? That's a really good question. Dave, I hear this a lot. And a lot of people

have popped in saying, Jay, this is a great way that I can build my credit. It's a debit card that

will report to the credit card companies or, you know, report it on your credit report.

But what they're not telling you is you're still borrowing money.

No.

No, the cashback credit card is just like a rewards card.

Well, the ones that I'm looking at.

You're talking about the one now.

The ones that build your credit.

Experian launched one that only works

with Experian boost. And it reports on the credit bureau. Right. Okay. But this is simply like

Discover has 1% back, Discover points, or if you get airline miles. So this is just cashback. It's a

cashback rewards. All right. And I don't have a problem with that.

Debit card.

And where does the money come from?

It comes from transaction fees, merchant fees.

Yeah.

So we don't accept credit cards on our website because we tell people not to have them.

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