Credit cards were first discovered by Frank McNamara, an ordinary businessman in the United States. Let us take a look at the history of the invention of credit cards.

Every credit card owner thinks that it should be related to the financial industry, but this is not the case. When credit cards first appeared, they had nothing to do with the financial or even economic industries, and the institution that first issued them did not. It’s not a bank. Although credit cards are now essential in our daily lives, most people don’t understand the development history of credit cards.

Credit cards originated in the United States, and became popular in some of the more traditional local industries, such as stores. In the early 20th century, the economic development of the United States was very prosperous, so the circulation of various commodities in the market also greatly increased. At that time, many people could not buy very luxurious commodities. Therefore, some more thoughtful businessmen came up with the idea of ??paying in many installments instead of paying it off all at once. The payment method at that time was exactly the same as the current credit card installment method.

For example, if you want to buy something very expensive, you can pay it in 12 or 24 installments instead of handing over all the money at once. This payment method was not available at the time. It is not thought of as a credit card, but as a form of loan. However, there are also many problems with this form. Since this installment payment method was thought up by some thoughtful merchants, they must collect all the money from consumers within the specified time, and must also bear the possible consequences of consumers. There was a risk of not paying, so the business at that time was quite complicated.

Later, it was not until 1950 that businessman Frank McNamara created a club. He and his good friends figured out a way to get a membership card by entering the club. This membership card can be used to Many stores just swipe their cards to make purchases and then return the money owed on the cards. At that time, credit cards were not made of plastic like they are now, but made of iron.

The above story only represents my personal opinion. Please forgive me if there are any errors.