Changing Credit

In 1966 order was needed to keep track of credit card transactions, the entire credit system was growing beyond anyones belief and control was needed. Credit changes the every day lives of individuals as well as the implications within financial institutions.

Order and control came in the form of a combination of 14 United States Banks who created a group called Interlink. This group helped to regulate and govern the use of credit cards. The best known credit cards which are still in use today are American Express, Visa, Mastercard and Diners Club.

American Express, as we all know, has been around for quite some time. Mastercard, or Mastercharge as it was once known by, was not created until the 60’s. Mastercard quickly became a competitor for the revolutionary BankAmericard. BankAmericard extended their services overseas and therefore became known as VISA, just as it is still known today.

Soon after changing their name in securing a place across the Atlantic, Mastercard also became widely known. Today, both Mastercard and VISA are well known and well used.

A revolutionary move that helped to increase the use of credit transactions was the introduction of the magnetic stripe. This allowed for quicker and safer transactions, which in turn increased peoples use of credit cards.

Who would have thought that a fabulous invention like the credit card was borne from a simple mistake and came about through the simplest of intentions.

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