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Photo card option: Travel privileges: Credit-line increase: Service over phone: Fuel facility: Ex: BP outlets Provides BoB Card Medical advance facility: Supplementary cards: Hotels discount facility: Newsletters: Ex: complimentary subscription to Business world &Today sent to SBI Card Joint credit card and ATM facility:
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limit is set on the amount of money one can spend on the card for a particular period.
It is a convenient mode of making payment. This facility gives a consolidated bill for a specific period and bills are payable.
offers only limited privileges to cardholders. Some banks issue standard cards under the brand name classic cards. These cards are generally issued to salaried people. also known as Executive cards, are issued to small partnership firms, and firms of chartered accountants, tax-consultants and others, for use by executives on their business trips issued in the name of the executives of the firms. The gold card offers high value credit ,It offers many additional benefits and facilities such as higher credit limits, more cash advance limits etc Free Powerpoint Templates Page 6
Gold card:
Domestic card:
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ATM card: Debit cards: Hybrid of ATM and Credit card Prepaid cards: They are also called limited purpose prepaid cards Private label cards: These cards are uniquely tied to the
retailer issuing the card and can be used only in that retailers stores.
These are credit cards designed for use by a collection of individuals with some form of common interest or relationship, such as professional, alumni, retired persons organizations,
Smart cards:
credit card sized plastic card with an embedded computer chip. The telecom industry was perhaps the pioneer in smart cards, the most prominent being Subscriber Identity Module (SIM) cards in the GSM digital cellular network.
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Benefits To Seller
With increasing sales, the turnover of the seller increases. Due to credit card facility, he can attract customers from far off places also. Durable goods can be sold easily through credit card. Bad debts can be avoided as the bank arranges for payment under credit card.
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Benefits to Wholesaler
The wholesaler will be getting more orders from the retailer as the sales will go up due to credit card. The wholesaler will be dealing products of different manufacturers due to credit extended by them The wholesaler will be able to place orders throughout the year and hence can get trade credit as well as cash credit from the manufacturers.
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Benefits TO Manufacturer
With orders continuously received from the wholesalers, the manufacturer can increase his production. Due to large scale production, the cost of production will come down and the manufacturer will be able to sell at a lower price. Since the orders are received throughout the year, there will be continuous production. The manufacturer will also diversify his production due to the goodwill he has enjoyed due to increased production. The profit of the manufacturer will also increase and he will extend a higher commission to his wholesalers.
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BENEFITS TO COMMERCIAL BANKS More customers will avail the banking facility. There will not be cash withdrawals from the bank. The bank, by extending credit to customer, retailer, wholesaler and manufacturer is able to earn interest on the credit. All the transactions in the country are done through the banking system, as a result of which, the role of money lenders and other financiers is reduced. The profit of the bank will also increase due to the extension of credit to different parties.
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A better control on the banking system is evolved by the RBI. Central bank is able to take immediate action on the economy as credit card provides information regarding purchases and sale in the country. By extending credit card facility to agriculturists, agricultural finance is improved and this relieves the farmers from the clutches of money lenders.
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