CORPORATE FINANCE

CREDIT CARDS
 GROUP MEMBERS

• USMAN AHMAD QADRI

• FARHAN NASIR
• AWAIS AHMAD TAHIR
• SHUMAIR IJAZ
• ASAD IQBAL

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 CREDIT CARD

A credit card is an automatic way of offering credit to a consumer

Who Invented Credit Cards?

According to Encyclopedia Britannica, "the use of credit cards
originated in the United States during the 1920s, when individual
firms, such as oil companies and hotel chains, began issuing them
to customers." However, references to credit cards have been made
as far back as 1890 in Europe. Early credit cards involved sales
directly between the merchant offering the credit and credit card,
and that merchant's customer. Around 1938, companies started to
accept each other's cards. Today, credit cards allow you to make
purchases with countless third parties.

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The Shape of Credit Cards
Credit cards were not always been made of plastic. There have been
credit tokens made from metal coins, metal plates, and celluloid,
metal, fiber, paper, and now mostly plastic cards.

First Bank Credit Card

The inventor of the first bank issued credit card was John Biggins of
the Flatbush National Bank of Brooklyn in New York. In 1946,
Biggins invented the "Charge-It" program between bank customers
and local merchants. Merchants could deposit sales slips into the
bank and the bank billed the customer who used the card.

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The Stripe on a Credit Card

The stripe on the back of a credit

card is a magnetic stripe, often
called a magstripe. The magstripe is
made up of tiny iron-based magnetic
particles in a plastic-like film. Each
particle is really a tiny bar magnet
about 20-millionths of an inch long.

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 STANDERED CHARTERED BANK

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 Best Suited for
 Meant for those who wish to bring ultimate indulgence to thier lifestyle. It is a
globally renowned brand with world wide acceptance and exciting features and
benefits.
Features
 Access to the CIP Lounge (International Departures) at Jinnah International
Airport, Karachi.
 Withdraw cash up to 30% of your available credit limit at any VISA/MasterCard
ATM across the globe.
 Dial -a- Draft
 Zero Loss Liability
 Travel Accident Cover
 24hr Phone Banking

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 Best Suited for
 It is a card which leads you to the financial freedom you deserve. It comes with
worldwide acceptance, low mark up, exclusive promotions and rewards.
Features
 Withdraw cash up to 30% of your available credit limit at any VISA/MasterCard
ATM across the globe.
 Access to the CIP Lounge (International Departures) at Jinnah International
Airport, Karachi.
 Dial -a- Draft
 Zero Loss Liability
 Travel Accident Cover
 24hr Phone Banking

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STANDERED CHARTERED VISA

The following schedule of charges is associated

CLASSIC CARD
 Joining Fee: Rs 500
 Annual Fee: Rs 2,000
 Supplementary Annual Fee: Rs 750
GOLD CARD
 Joining Fee: Rs 1,000
 Annual Fee: Rs 4,000
 Supplementary Annual Fee: Rs 2,000.
OTHER FEE
 Service Fee: 2.75% per month (both retail and cash)
 Late Fee: Rs. 350 or 10% of the minimum payment due(Which ever is
higher)
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STANDERED CHARTERED VISA

The following schedule of charges Cont.

 Cash advance Fee: Rs. 500 ( per transaction)
 Cheque/Cash pickup Fee: Rs. 200
 Overlimit Fee: Rs. 500
 Voucher Retrival Fee: Rs. 250 Local & Rs. 800 international
 Dial’a’Draft: Bank rimitance charges + Rs. 400 ( per request) and accural
of charges as cash advance
 Card replacement Fee: Rs. 200
 Cheque Return Charges: Rs. 500
 Cash Payment Charges: Rs. 100(per bill)
 Duplicate Statement Charges: Rs. 200 per Statement

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STANDERED CHARTERED MASTER CARD

The following schedule of charges is associated

CARD FEES
 Joining Fee: Rs 500
 Annual Fee: Rs 2,000
 Supplementary Annual Fee: Rs 750
OTHER FEES
 Service Fee: 2.33% per month (both retail and cash)
 Late Fee: Rs. 350 or 10% of the minimum payment due(Which ever is higher)
 Cash advance Fee: Rs. 500 ( per transaction)
 Cheque/Cash pickup Fee: Rs. 200
 Overlimit Fee: Rs. 500
 Voucher Retrival Fee: Rs. 250 Local & Rs. 800 international
 Dial’a’Draft: Bank remittance charges + Rs. 400 ( per request) and accural of
charges as cash advance
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STANDERED CHARTERED MASTER CARD

The following schedule of charges Cont.

 Card replacement Fee: Rs. 200
 Cheque Return Charges: Rs. 500
 Cash Payment Charges: Rs. 100(per bill)
 Duplicate Statement Charges: Rs. 200 per Statement

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 TYPES OF CREDIT CARDS OFFERED

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CREDIT CARDS
Muslim Commercial Bank Pvt. Limited.
 The Power Of MCB VISA Credit Card

 MCB VISA is not just another card in your wallet. It not only provides the
conventional credit card services in a manner that is superior in
comparison, but goes an extra mile.
 Global Acceptability:
Standard Chartered Credit Cards can be used at 24 million
establishments across the globe in 210 countries including 10,000 in
Pakistan displaying the Credit Cards logo.
 Cash Advance Facility:
You can withdraw cash up to 30% of your available credit limit at any
VISA/MasterCard ATM across the globe. Cash can also be withdrawn
‘Over-the-Counter’ at financial institutions worldwide or at any of the
Standard Chartered branches and all other VISA/MasterCard member
banks in Pakistan.

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MCB VISA Card

The following schedule of charges is associated

CLASSIC CARD
 Joining Fee: Rs 0
 Annual Fee: Rs 0
 Supplementary Annual Fee: Rs 0
GOLD CARD
 Joining Fee: Rs 0
 Annual Fee: Rs 0
 Supplementary Annual Fee: Rs 0
OTHER FEE
 Service Fee/Markup on cash transactions: 2.83% per month translated into an APR of up
to 34% calculated on daily unpaid balance from date of transaction
 Service Fee/Markup retail Fixed): 2.83% for service fee/markup per month translated into
APR of up to 34%
 Late Fee: Rs. 600 or 10% of the minimum payment due Which ever is higher)

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MCB VISA Card

The following schedule of charges Cont.

 Cash advance Fee: Rs. 500 ( per transaction) or up to 3% of the cash advance
transaction whichever is high)+ all Charges by acquiring bank
 Cheque/Cash pickup Fee: Rs. 200
 Over limit Fee: Rs. 500
 Voucher Retrival Fee: Rs. 250 Local & Rs. 800 international
 Dial’a’Draft: Bank remittances charges + Rs. 350 ( per request) or up to 3% of
amount requested (which ever is higher)
 Card replacement Fee: Rs. 500
 Cheque Return Charges: Rs. 600
 Cash Payment Charges: up to Rs. 100(per bill for MCB A/C holder) & up to Rs.
200 per bill for non-account holders.
 Duplicate Statement Charges: Rs. 300 per Statement (more than 1 month old)

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CREDIT CARDS
UNITED BANK LIMITED (UBL).
UBL VISA CARD

CARD FEES
Joining Fee: NIL
Annual Membership fee Fee: NIL
Supplementary Annual Fee: NIL
Minimum monthly payment: Rs. 200
Cash Advance: Rs. 750
OTHER FEES
Late payment fee: 10% balance due or 750 (whichever high)
Late Fee: Rs. 750 or 10% of the minimum payment due(Which ever
is higher)
SMS alert fee: 50 per month
Overlimit Fee: Rs. 750
Card replacement Fee: Rs.300
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UBL MASTER CARD

Joining Fee: NIL

Annual Fee: NIL
Supplementary Annual Fee: NIL
OTHER FEE
Minimum monthly payment: RS.200
CASH ADVANCE: Rs.750
UTILITY BILL PAYMENT: Up to Rs. 25 per transaction
Emergency card replacement (Visa/Master card)
Master card arbitration charges for disputed transaction USD
500/ or equivalent
Late payment fee: 10% balance due or 750 (whichever high)
Late Fee: Rs. 750 or 10% of the minimum payment due(Which
ever is higher)
SMS alert fee: 50 per month
Overlimit Fee: Rs. 750
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 COMPARISON BETWEEN BANKS

STANDERED MUSLIM
CHARGES UBL BANK
CHARTERD BANK COMMERCIAL BANK
MASTER/VISA CARD
Joining Fee: Rs 500 0 Nil
Annual Fee: Rs 2,000 0 Nil
Supplementary Annual Rs 750 0 Nil
Fee:

OTHER CHARGES Rs. 350 or 10% of Rs. 350 or 10% of the Rs. 750 or
the minimum minimum payment 10% of the
LATE PAYMENT:
payment due (Which ever is minimum
due(Which ever is higher) payment
higher due(Which
ever is
higher)
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 COMPARISON BETWEEN BANKS

90
80
70
60
50
SCB
40
MCB
30
UBL
20
10
0
J Cash Payment
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 COMPARISON BETWEEN BANKS
STANDERED MUSLIM COMMERCIAL
CHARGES UBL BANK
CHARTERD BANK BANK
OTHER FEE 2.83% per month 5%OR Rs.
translated into an APR 200 (which
Service Fee 2.75% per month
of up to 34% ever is
(both retail and
calculated on daily higher)
cash)
unpaid balance from
date of transaction.

Duplicate Statement Rs. 200 per Rs. 300 per Statement Rs. 100 per
Charges Statement (more than 1 month Statement
old)

Card replacement Fee: Rs.200 Rs.500 Rs.300

Over limit Fee: RS.500 RS.500 RS.750

Returned cheque Fee Rs.500 Rs.600 Rs.750

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CONCLUSION:
For the Best Suited credit card , its have in some essential
features For example
 a card you select which given you the financial freedom which are you
desire.
 The card should have Worldwide acceptance
 Its have a low mark up.
 The card which are you used its have low charges fee accordingly to yours
strength.
 From Credit card, Cash can be withdrawn both ‘Over-the-Counter’ and ATM.

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