The payment method has evolved from the traditional methods of
- Barter system: Since the beginning of time, people have been swapping items of equivalent values and still continue its usage in many communities today.
- Exchange of tokens: These tokens are small items including shells or precious metals used instead of large goods.
- Presenting written promises: Often known as the paper money which was used to pay the bearer with a particular amount. These are light weighted and easily transferable means of payment. Cheque leaf is an extended version of this system.
- Use of virtual money: People started exploiting invisible fund transmission via digital means that later led to the development of automated banking, international payment cards, and electronic money transfers. By the end of 20th century, people started seeing the real form of money when they used a card to withdraw the required amount from a cash machine and the rest was safe with the bank’s computer system.
To a scheme of using
- E-commerce: This was a trend in internet exploited regions, where billions of euros spent at online retailers made possible by Visa transfer. This made the online shopping safer and easier than ever.
- Chip cards: With the capability of transferring anything that can be digitized, on a sole multi-purpose chip card, it became easy with debit and credit accounts, ticket booking, insurance managing and a lot more.
- TV commerce: This was a major step to revolution when everything comes under the comfort of your living room within your interactive digital television. You can easily visit any online shopping sites, buy what you have seen in commercials, and pay to watch for a premium show or settle your household bills. Each and everything is possible by just inserting your chip card into the set-top box and tapping your personal identification number into the remote and selecting the safe visa service.
- Person to person money transfer: This is a flexible and rather inexpensive method of cash transaction from one person to another made possible by online internet banking.
- Mobile commerce in the 21st century: Mobile phones have the power to outrage landlines. They bring in the freedom of transacting while you are on move.
- PayPal and Google express: These initiates electronic transfer of money with cheaper or no transaction cost.
Nowadays, payments are more like a business that includes the transaction fees, liabilities with rules and rewards. Further, the merchant is guaranteed payment only if
- The card reader can read the valid chip cards or with an alternative to identifying signatures.
- And the most important is the presence of card at the time of purchase.