Credit card

A credit card is a type of card that allows buying items without cash. Credit cards tend to be small plastic cards with a unique number attached to a bank account. Most are magnetic stripe cards. Many have an EMV chip for use by card readers. Paying with a credit card means borrowing the money in an unsecured loan which must be repaid in a specified time.

Two credit cards on display.

If the bill is left unpaid for some time, the customer will have to pay interest for the amount that is left unpaid. Users failing to repay in time may have to pay much more. Payment using a credit card is one of the most common methods of electronic payment. A debit card similarly allows paying without cash, but it pays with money in the user's bank account.

Features

Each card has a unique number. Using this number, plus other details on the card, such as the validity date, or a code, the client can buy goods or services. The issuer of the card automatically transfers the money to the seller. The person using the card gets a credit. The customer has a certain amount of time to pay the credit card bill.