There are many definitions for credit cards, but in the simplicity, I would say, that the credit card, is a tool payment and cash withdrawal, or to transfer is a document that gives the issuer to its customers, based on a contract between the issuer and the customer, in order to enable customers to buy what want of goods and services, or to withdraw cash from the ATM, when the cardholder to use to buy, the dealer gets the price of his goods immediately from the issuer of the card, while the customer cardholder to pay later for the issuer of the card on a periodic installments.
It should be noted here that the Islamic banks do not calculate any monthly benefits to customers in possession of those cards, and only collect fees for issuing annual only, unlike all the other banks around the world, and to the faith of Muslims that interest is forbidden according to Islamic law, because they carry the client can not afford , and this is forbidden for Muslims because it is the exploitation of the people unjustly, that the most serious economic problems currently caused due to these high-interest, and because of the inability of many clients for payment, and as a result of the global financial crisis occurred in the year 2007. It is reported that since that the recent financial crisis, sought most countries of the world to study the Islamic economic model, it has created France's largest institute in the world for the teaching of Islamic economics, as well as focused many universities in America, Britain and Germany to study the experience of Islamic finance, because that Islamic banks have withstood more than others in the face of the recent financial crisis in 2007, and the resilience of Islamic banks in the face of the financial crisis caused it does not deal benefit (RIBA) because the interest (usury) is forbidden in Islam.
There are two types of credit cards, the first is the
type Limited, which is characterized by that payment of accumulated debt (as a
result of the use of the card in the purchase or cash withdrawal) are at once,
at a specific date, each month, for example, this type Limited was the first
type of credit card is used Islamic banks, but now it has evolved and become Islamic
banks give grace periods largest customers (because of the importance of
Islamic banks is discussed in detail later). The second type of credit cards,
it is open type, and is more prevalent than the first type, and it does not
require the issuer of the card customers paying at once, but be made in
installments, usually a percentage of the amounts used, let's say for example
that you have this card, and used in the clouds and the purchase sum of ten
thousand pounds, the issuer gets you a monthly rate of a few of those debts 5%,
for example, here you are required to pay 500 pounds and not every ten
thousand, as in the first type limited, (this illustrative example, do not pay
attention to the numbers too much, Because the amounts collected monthly credit
depends on the orbit).
For further understanding of the subject of credit cards,
and how they work, we need to know how the issuance of the cards, it is issued,
and in the interest of the issued, and how is the issue, then one of the
processes we follow, whether they buy goods or withdraw from automatic machines
ATM.
Parties credit cards are as follows:
First, the card holder (client) who holds the card, which
is an ordinary person or legal entity, meets the requirements for obtaining
them, picking them from the bank that deals with him, or perhaps a financial
point other than the bank, but has the right to issue such cards.
Second, the issuer, whether a bank or other financial
institution, has the right to issue credit cards this.
Third, the merchant owner of the goods, which accepts the
sale of his goods by those cards, and has a machine from the bank that deals
with him, would enable this machine to get the price of sales, here also we can
add networks, ATM, and so if the card was used to withdraw cash.
Fourth: the collecting bank for amounts purchases, here
is a bank trader who gets in his favor bills of sale, by the machine, which
gave the dealer previously, in order to get the prices of sales denominated.
Fifth, international organizations, the international
organizations responsible for rendering those cards, according to specific
agreements among banks around the world, for example, if you issue a card from
Barclays Bank in London, and traveled to China and bought out goods from there,
the merchant of China gets its funds from the Bank of China, which deal with
him, and Bank of China gets its funds from Barclays Bank through those
organizations and international bodies to ensure that all parties. Those months
of international organizations, Visa Inc. , MasterCard, American Express,
Diners Club International, Japan Credit Bureau, Discover Card, and other
organizations.
ATM cards:
It is noted that our conversation the previous whole
focus on credit cards, and did not come to mention the other type (Debit
Cards), which can not be the bearer to use if you do not it sufficient balance
in the account issued by him, the cards, issued by the Bank to the account
holder, so that the client can Management calculated by himself without having
to visit the branch at a time, and in the latter type the card is linked to a
bank account of the holder, that is used in order to draw on their account by
machines ATM local or international (depending on the type of card, there are
cards only local, and other local and international) or purchase from websites
or shops associated with the local network of the state only, and can not be
for this type of card to buy from websites other global Unlike credit cards,
usually the banks to issue this type of card to facilitate their clients to
make withdrawals from their accounts or used to purchase POS POS (Point Of
Sale). It should be noted here that this type of card associated with the
account, it was a two, one local is used within the state only whether to draw
from the ATM or point of sale purchases and can not be the bearer used
internationally, because they are linked to the local network of the state
only, while there is another type of these cards can be used internationally as
well, and from the so-called Visa Electron card (with support from Visa) or
Maestro card (with support from Mastercard), and this type is used locally and
internationally. However, things have evolved rapidly and have become all the
cards almost can be used internationally, provided there is support from
Almntmat mentioned international to enable the holder to be used outside the
scope of the state located by the issuing bank has, usually have the slogan One
of these organizations is printed clearly on this card.
Prepaid Cards:
Is a type of credit cards Mufua in advance and called
(Pre-Paid Cards), which is similar to well with the Visa ordinary in terms of
use, but in only one command is that this type of card, does not allow the
cardholder clouds or purchase them only if he has deposited into the account of
this card asset enough of what he wanted to do from buying or withdrawn. This
is the type of card one important species, which enables owners to enjoy all
the advantages of credit cards, except for one thing only, which as we pointed
out, the need for a sufficient balance calculated in order to be used, unlike
credit cards other that allows the holder to purchase or withdrawal without
prior deposit in card account. Banks have recently issued several species, some
of which is used for online purchase only, or the kind that is given to
employees to pay their salaries through them, where the employer ship this card
every month, or deposit calculates a fixed amount is the monthly salary of the
employee, including what it calls bank card for household expenses, and where
the head of household filing in the card account expense month in order to
control the expenses of the house monthly, including cards given to children
where the father deposit monthly expense for his son, and so many types are similar
to all of the content and the differences these are just labels only commercial
goals of purely marketing.
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