Credit Card : A Common Of Banking Scenario

some famous criminal cases that involve credit card fraud. Also we will discuss how identity

The liberalization of the money related divisions in Asia has brought about the fast spread of charge card organizations and monetary organizations giving different sorts of purchaser credit. The charge card market in general world has extended radically that the guarantors of outside nations has presented cellular telephone Visas for the comfort of their customers.(Amin, 2008) This, combined with the passage of remote banks, has enormously expanded the quantity of credit cards accessible, and consequently such spending in Pakistan. Despite the fact that charge card was presented in Pakistan decades prior when Habib Bank, the biggest bank in Pakistan, dispatched its gold card, however individuals had scarcely think about this card in view of its extremely restricted issuance. Several years back, Master card was introduced by ABL (Allied Bank of Pakistan), but that also was not get good attention. In year 1994, VISA Card is introduced by Citibank, that give a better turning point to plastic money industry in Pakistan. The working of Citibank no doubt was amazing that open doors for new offerings for the people of our country as well as for financial industry

As technology advances over the years, we have experienced and noticed that the trend in how payment are received have shift tremendously. Twenty years ago, check was the preferred way of payment. In today’s world, more and more payments are done by credit cards. Credit card transactions are instance that provides a faster payment method.

The first credit card was the idea of Frank McNamara. He devised them to pay the local restaurants in New York. The first credit card was called the Diner’s Club Card and quickly gained popularity in the 1950s.

‘’Founded in 1994 the EMV referred to Europay, MasterCard, and Visa, who together provided better card security.’’ (www.thebreif.com) Currently credit card fraud has been at an all time high in the years 2016 and 2017. This activity has skyrocketed since young teens and young adults have the idea of targeting adults and senior citizens, and using someone 's information to buy whatever the scammer desires. “The U.S. is responsible for 47% of the world’s fraud despite only accounting for 24% of total worldwide card volume.’’ (www.nasdaq.com) Credit card fraud has been a big problem, although through new security implementations such as chips and pin systems, the level of security associated with cards has improved. In the future credit card fraud may come to a stop, or at least slow down significantly. With this new security being implemented and new legislation laws credit card offenders may finally be brought to justice.

“Interpreting even the most ordinary junk mail solicitation for a credit card requires an understanding among other things of the postal system, folded paper envelopes, advertising and direct mailing, promised inducements, the modern bank and credit card system, modern application forms, store credit card transactions, monthly statements, internal record keeping, check payments, and competition among various credit providers” (Bazerman 1997).

In May 2009, President Obama stated, “The credit card act was intended to uphold basic standards of fairness, transparency, and accountability (Lindow).” Is this to say that credit card companies were deliberately deceiving consumers to capitalize on profits? Unfortunately, the answer is yes: profit was not the concern of this act, as the banks had abnormally high profit margins. What was in question, however, was the approach of generating these favorable profits for banks (Warren). The Credit Card act provides protection for young consumers with specific provisions such as: fix interest rates, 21 day grace period, the right to opt out of adverse changes in terms, a 21 year age requirement and clearer agreements for transparency.

Every day, everywhere, MasterCard Worldwide uses technology and expertise to make payments safe, simple and smart.

In the case, the hackers used firms’ secured information of financial transaction at the point of sale to copy fake card information for their own use. They would be able to make large purchases using the data on the cards. The only information the hackers would need is the technology to gain access to the firms’ information system, card numbers, and a method copy the cards.

In the situation presented, credit cards and their implications are the principal topics at hand. Represented in the corporate credit card case is a major regional bank holding company identified as X-Bank. Recently, the company opted to expand its business by developing new products and services that would increase its revenues and profits. As a result, they elected to affiliate with VISA International and introduce the “corporate card.” With this plan, corporations would be able to provide their employees these cards to use

In 1914, Western Union, another express company, issued the first “charge card” in the form of a metal plate given to preferred customers that enabled them to defer payment for services. Charge cards required that the balance be paid in full at regular intervals, but did not

The explosion of credit card use among college students has woven itself into the fabric of campus life ultimately impacting how students interact and begin in the financial industry. As students gain more freedom away from home they often begin to experience various social changes. One area in particular that is cause for concern is the number of students incurring credit card debt. Due to growth in credit card usage and the rise of debt, the ideas discussed in this paper represent the growing need to evaluate credit card company solicitation efforts aimed at students and how to begin negotiation to amend these practices. Through mediation, the focus will be to investigate if college students receive ample education on credit and financial literacy. Concessions will be centered on finding a consensus solution that will work for the credit card industry and young consumer. Ultimately the negotiations seek to strike a balance that will create positive spending habits, implement a change in industry policy, and decrease the burden of debt that many college students find themselves in.

The debit card has been around since 1966, which means banks have had a lot of time to figure out new ways to charge you for using your own money. The Bank of Delaware piloted the card. And by the 1970s, several other banks were trying out similar ideas reported by the Kansas City Federal Reserve (2010). The usage of debit card picked up in the 1980s and 1990s as more and more ATMs started cropping up across the country. In 1990, debit cards were used in about three hundred million (300 000 000) transactions. In 2009, prepaid and debit cards were used in 37.6 billion transactions reported by Robert Manning author of Credit Card Nation, according to FDIC Banking Reviews Paper (2005) Credit card lending money through a card goes as far back as the 1880’s. The cards soon began to spread to other industries. Hotels and department stores presented their most valued customers with paper identification cards. The cards were mostly used at that one location; however, some local merchants would accept the competitors' card.

Credit cards have become such a familiar feature of the life style in the world that it is difficult to imagine a consumer economy functioning without them. The credit cards are nowadays the most convenient of all types of payments. The boom of the credit card industry has affected everyone in the world of the "plastic money". That was the name given to the credit card right after it was invented. Nowadays, the "plastic money" occupies a very important place in the economy of the country. "Settlements indicates that the number of credit cards in circulation increased 34 percent between 1988….. The data also show that the value of credit card transactions increased 98 percent during the same period"

The credit card authorizes the holder to charge goods and services that they will later be billed for. The credit card came into being in the 1920’s when hotels and gas companies made them available to customers for use in their establishments. Next, in 1950 the Diners’ Club, Inc. card was introduced which allowed for customers to use the card at a variety of businesses. Then in 1958 the American Express Company offered a card that billed its customers on a periodic basis, usually monthly and also charged an annual fee for its use of credit and