10-04-2017, 08:57 PM
A credit card is a small plastic card issued to users as a payment system. It allows the holder to buy goods and services based on the promise of the holder to pay for these goods and services. The issuer of the card creates a revolving account and grants a consumer credit line (or user) from which the user can borrow money for payment to a merchant or as a cash advance to the user. The growth of credit card culture in India has been prevalent in recent years. Therefore, the present study tries to analyze the perception of the client towards the credit cards. Data were collected by convenience sampling. The study finds that the current generation is using credit cards for their daily needs rather than using cash because of the reason it is easy to handle, zero interest rate for a certain period and the overall acceptance of the credit card in Everywhere Today many people feel that a wallet without a credit or debit card is empty. The use of these instruments is becoming popular not only among affluent classes of people, but also with people in all social classes. Consequently, we find that during the last decade, there has been an exponential growth in the issuance of credit cards and their use.
The important factor driving the growth of plastic money in India is that people are rapidly adapting to the cash-free culture. It offers greater comfort, security and flexibility than cash for transactions and also complements the modern lifestyle of customers. In addition, with the IT revolution and the younger generation getting into employment, the adverse credit stance has changed and a majority of the younger generation prefers plastic money over conventional money. These factors coupled with constant innovation and expanding networks of banks have enabled the growth of the credit card industry to a large extent. The number of nationalized and private banks issuing credit cards has increased significantly and credit cards are not only an integral part of consumers' lives in meters, but even the residents of smaller cities and towns have taken to them.
Credit card originated in the United States during the 1920s when individual companies such as hotel chains and oil companies began sending them to customers for purchases made in their business units. Use increased after World War II. Diners Club introduced the first universal credit card that can be used in a variety of stores and businesses. In 1958, the company American Express established another universal card called 'Do not go without it'. It is only after such developments, bank credit came into existence. Under the credit card scheme, an individual can obtain a credit card from a bank with a specified credit limit, as determined by the bank based on their income. In turn, the bank will enter into a contract with different shopping establishments across the country, covering almost all aspects of human need, from hotels and restaurants to department stores, gasoline retail outlets, clothing stores, Railway and air travel agencies and jewelery stores to sell goods based on the credit card. Cardholders can purchase goods from member affiliate merchants by producing their card and signing sales invoices / charges that occur prior to him / her. Billing invoices and sales invoices, evidencing the purchases made by the cardholders, are transmitted by commercial establishments to the banks that pay them, and the bank in due time collects the amount of the holders after Deduct the commission. Cardholders have the option to pay off the monthly statement in full or take credit and pay a specified minimum each month.
The important factor driving the growth of plastic money in India is that people are rapidly adapting to the cash-free culture. It offers greater comfort, security and flexibility than cash for transactions and also complements the modern lifestyle of customers. In addition, with the IT revolution and the younger generation getting into employment, the adverse credit stance has changed and a majority of the younger generation prefers plastic money over conventional money. These factors coupled with constant innovation and expanding networks of banks have enabled the growth of the credit card industry to a large extent. The number of nationalized and private banks issuing credit cards has increased significantly and credit cards are not only an integral part of consumers' lives in meters, but even the residents of smaller cities and towns have taken to them.
Credit card originated in the United States during the 1920s when individual companies such as hotel chains and oil companies began sending them to customers for purchases made in their business units. Use increased after World War II. Diners Club introduced the first universal credit card that can be used in a variety of stores and businesses. In 1958, the company American Express established another universal card called 'Do not go without it'. It is only after such developments, bank credit came into existence. Under the credit card scheme, an individual can obtain a credit card from a bank with a specified credit limit, as determined by the bank based on their income. In turn, the bank will enter into a contract with different shopping establishments across the country, covering almost all aspects of human need, from hotels and restaurants to department stores, gasoline retail outlets, clothing stores, Railway and air travel agencies and jewelery stores to sell goods based on the credit card. Cardholders can purchase goods from member affiliate merchants by producing their card and signing sales invoices / charges that occur prior to him / her. Billing invoices and sales invoices, evidencing the purchases made by the cardholders, are transmitted by commercial establishments to the banks that pay them, and the bank in due time collects the amount of the holders after Deduct the commission. Cardholders have the option to pay off the monthly statement in full or take credit and pay a specified minimum each month.
