How do credit cards work? Everything you want to know about Credit Card
If I tell you that you can buy something now and pay for it later, how you would react to that? Yes, the functioning of credit cards revolves around a similar mechanism. The idea of how credit card works is fascinating for all of us. The history of credit cards or the credit system has evolved with the evolution of humans. In the 1950s, we witnessed the first modern credit card, when Diner’s Club issued its first modern credit card for several retailers. This was followed by numerous vital changes in credit card history. Till the 1980s, several cards had a magnetic stripe on the backside which was decoded by specialized computer equipment. This was soon followed by EMV smart chip which allowed banks and merchants to have a smoother transaction. Today, credit cards are used by everyone and are hugely promoted by banks. What is a Credit Card? A credit card helps the user to make a purchase or pay bills or withdraw cash within the credit limit. The cardholder...