Credit Cards – Types and Development
Mainly on the internet, but also in normal life, when shopping on a certain type of payment is used more often. In this context, the credit card is meant. The fact that there are some serious differences between different types of credit cards, most are not aware.
Credit Cards – Differences and Development
Credit card is credit card, this general statement is no longer true today. Although the credit cards differ minimally in design, the big difference is the interested in the functions that the respective card offers. But also with regard to charges, the different versions offer differences.
The first credit card was the Diners Club. It was designed to allow club members to make cashless payments at selected New York restaurants. So the card was a credit card. The ID card allowed them to have their bill written – so that they could take out a loan (credere = believe). Consequently, members of the Diners Club believed in their good credit rating. This resulted in the many forms of credit cards that exist today.
These credit cards are available:
1. Real credit card
This actually only true credit card allows the user to shop in a certain frame, ie the credit granted by the bank. This sum he can, for example, while shopping, but also at the ATM.
2nd cashback card
This card offers the functions of a credit card, but at the same time offers another great advantage: When paying with this, the user is always paid a kind of compensation, which is credited immediately. So shopping with this card is worth twice. Of course, this offers itself on the Internet, which is why credit cards with online cashback are becoming more widespread.
3. Prepaid credit card
This form of credit card is becoming increasingly popular. The system is as simple as it is ingenious. All normal functions of a credit card are available, but credit must be loaded on the card before shopping. An overdraft or debt is therefore not possible. A credit is therefore not granted, which is why it is actually a credit card with credit card features.
Credit Cards – A complex topic
If you want to get a credit card has different options. In some cases, banks offer credit cards free of charge to an account and sometimes an annual fee must be paid . In addition to the basic functions of credit cards, many cards also have other amenities. This starts with an insurance package and goes up to the personal butler and access to private airport lounges, etc. The latter is reserved only for people who can afford these exclusive cards, or are invited to use them. Basically, the granted credit depends on the personal credit rating. If the credit to a real credit card is not enough, the prepaid card is a good alternative.