A credit card is a type of retail transaction settlement and credit system, named after small plastic card issued to users of the system. A credit card is different from a debit card in that the credit card issuer loans the consumers money rather than having the money removed from an account. Most credit cards are the same shape and size, as specified by the ISO 7810 standard.
A credit card is a thin plastic card, usually 3-1/8 inches by 2-1/8 inches in size that contains identification information such as signature or picture, and authorizes the person named on it to charge purchases or services to his account – charges for which he will be billed periodically. Today the information on the card is read by automated teller machines (ATM’s), store readers, bank and Internet computers.
Credit cards are gaining around in India too. More and more banks are encouraging their people to go in for credit cards. Besides the various freebies and rewards doled out, customers feel it very convenient to carry a plastic card rather than bundles of currency.
The expected growth rate of credit card business in India is 25-30%. With the advent of globalization and privatization, the concept of credit cards is gaining popularity. Customers no longer have to carry huge amount in their wallet. Most of the bill payments including utility payments can he taken care by credit cards. Further in India at least people perceive the card as a status symbol.
A credit card, as the name suggests, gives you credit – obviously for a charge. The days of credit one gets could range from 20- 50, days depending on the date when one
made the purchase. You can choose to pay your entire dues at one go, or stagger them after paying the minimum amount due every month. Besides this, it entitles the member to plethora of benefits like travel discounts, discount on retail loans.