Charge card and Credit card are considered one and the same thing possibly due to many similarities but strictly speaking there are quite a number of differences between the two.
One of the primary differences between the two is that a credit card allows a minimum monthly payment to be made at the end of each month or the middle of each month. The unpaid amount would carry some interest. This is the procedure adopted in the use of credit card.
On the other hand in the case of a charge card you have to pay the total amount due that is shown in the statement in the same month. The option of carrying the payment of the total amount due to the next month virtually does not exist in the case of a charge card. This is one of the main differences between charge card and credit card.
One of the disadvantages of using a charge card is that if you fail to pay the amount that is due in full then you are charged a very high fee for the unpaid amount. This makes the use of charge card a very risky one in the sense that you cannot err in the payment of the total dues.
On the other hand the chief advantage of using credit card is that you are given the extra period of time of 30 days to clear the dues. It is up to you to pay either the dues in full or a minimum due for the corresponding month. This makes the use of a credit card enjoyable indeed.
In short it can be said that a credit card allows you to make purchases on credit whereas a charge card requires you to pay off the full balance every month. The best example for charge cards is the traditional American Express Card. They offer credit cards too. Some of the advantages of using a charge card are paying it off fully that relieves you off your debt, higher limits since you are paying off in full, greater rewards, insurance coverage and prestige as well.
The insurance coverage offered in the case of credit card is low when compared to the higher insurance coverage in the case of charge cards. This is due to the fact that you are likely to pay the entire amount every time you make purchase by using charge card.