OFFSHORE Credit Cards and
Credit card is a form of
paymode which was named so after a tiny
plastic card was issued to consumers.
This card entitles its owners to
purchase services and goods based on
owner’s assurance that he would pay for
the services and goods that he
The place from where the
card was issued provides users credit to
take money to pay a merchant. Credit
card and charge card are entirely
different. Credit card necessitates
consumers to pay their due in
After a credit provider
approves an account, credit cards can be
obtained. After which these cardholders
use these cards to purchase goods. After
a purchase, cardholder assures to pay
the card issuer. Cardholder then signs a
receipt along with card details
indicating the amount to be paid.
Merchants check these cards using
electronic verification device to ensure
the validity of the card.
Every month, these
cardholders are sent a report indicating
purchases that he/she has undertaken
along with outstanding and total amount
remaining. The issuers of credit cards
waive interest rates if amount is paid
fully each month.
Credit cards are really a
benefit for customers since they are
convenient way of pay mode. In addition
to this, credit cards are convenient for
several customers as it avoids the
requirement to take cash for each and
every purpose. After six and twelve
months, higher rate would be charged
from credit card users.
If cardholders miss to
pay the particular month’s payment, then
an interest of about 20-30% would be
stipulated. This would result in payment
that would be burdensome for cardholders
In case of merchants,
transactions made from a credit card is
most secure and reliable than any other
payment forms since issuing bank
entrusts to pay the dealer immediately
after the authorization of the
transaction irrespective of consumer’s
non-payment on credit card.
In order to secure a
sale, credit cards serves the purpose.
Several fees are charged from merchants
for acceptance of credit cards. A
discount price of one to two percent
might be charged for each transaction
they obtain through credit card.
The parties involved are
as listed here:
Cardholder: Card user who
uses this card to buy services and
Card-issuing bank: The
organization which issued credit card
for cardholder. Cards that are issued by
processors/banks to card users in
different countries are termed “offshore
Merchant: Individual who
accept credit card pays for services or
products sold out to cardholder.
Organization that accepts payment for
services or products from cardholders
those are due to merchant.
financial institution with which vendor
Credit Card organization:
Is an organization of banks which issue
cards like: American Express, Discover,
MasterCard, Visa, and so on.
Transaction network: Is a
system which implements electronic
transactions. The transaction networks
include: VisaNet, Concord EFSnet, Nova,
NDC Atlanta, Nabanco, and Cardnet.
Transaction steps are as
listed here: authorization, batching,
clearance and settlement, funding, and
one of our helpful account
representatives to assist you in the
high risk merchant account or
offshore merchant account for a
high risk merchant.