The picture in the post above shows the two vectors quite well, but I believe there is an error in your original quoted statement. The acceleration vector (force) is perpendicular to the velocity vector (not displacement vector). If the object had no acceleration acting on it, then it would move in a straight line along the path of the tangential velocity. But because of the radial acceleration (perpendicular to velocity), it is forced to turn and traverse a circular pathway. The displacement of the object is the circle itself, as that is where it is moving.