Plastic Money is Getting More Important Nowadays
A credit or “plastic money” as other call it, is getting more and more important these days. in some societies, a credit card is a status symbol. In others, it is a symbol of freedom – the freedom to spend.
According to wikipedia,credit cards are issued after an account has been approved by the credit provider, after which cardholders can use it to make purchases at merchants accepting that card.
When a purchase is made, the credit card user agrees to pay the card issuer. The cardholder indicates his/her consent to pay, by signing a receipt with a record of the card details and indicating the amount to be paid or by entering a Personal identification number (PIN). Also, many merchants now accept verbal authorizations via telephone and electronic authorization using the Internet, known as a ‘Card/Cardholder Not Present’ (CNP) transaction.
Electronic verification systems allow merchants to verify that the card is valid and the credit card customer has sufficient credit to cover the purchase in a few seconds, allowing the verification to happen at time of purchase. The verification is performed using a credit card payment terminal or Point of Sale (POS) system with a communications link to the merchant’s acquiring bank. Data from the card is obtained from a magnetic stripe or chip on the card; the latter system is in the United Kingdom and Ireland commonly known as Chip and PIN, but is more technically an EMV card.
Other variations of verification systems are used by eCommerce merchants to determine if the user’s account is valid and able to accept the charge. These will typically involve the cardholder providing additional information, such as the security code printed on the back of the card, or the address of the cardholder.
If you are looking for a company that specializes on informing consumers about credit cards and related services, how to use credit wisely, then you as the consumer should be wise enough to see to it that you take time in studying the terms and conditions of the company and your ability to pay the company on time.
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Hi Kuya, just to let you know I was here, hehehe! Marami na rin palang pera dito… I’ll try to visit this as often as I can…
Lainy’s last blog post..Manny Pacquiao on Post Office Stamps!
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