The Inspirational Story of Julio Herrera Velutini - Global Finance Leader
Plastic+money+ 3 .1
1. Business Environment
Topic:- Using Plastic Money :
Not suitable for Indian mindsets.
By:- Vaibhav Jain
Gurpreet Singh
Zahabia Africawala
2. What is plastic money ?
The "plastic" portion of this term refers to
the plastic construction of credit cards, as
opposed to paper and metal of currency.
The "money" portion is an erroneous
reference to credit cards as a form
of money, which they are not.
Vaibhav jain
3. Using Plastic Money :
Not suitable for Indian mindsets
Introduction :
•Plastic money or polymer money, made out of plastic, is a
new and easier way of paying for goods and services.
•It includes debit cards, ATMs, smart cards, etc.
Vaibhav jain
4. BIRTH OF PLASTIC MONEY
Credit cards were invented 60 years back.
After the Second World War, the first plastic
charge card was invented.
The Diners’ Club card, Introduced in New York
City in 1950, the card allowed Diners’ Club
members to eat at 27 restaurants in New York
City on credit.
Vaibhav jain
5. Types of plastic money :
Credit cards
Debit cards
Master cards & Visa
Charge cards
Smart cards
Photo cards
Co-branded cards
Global cards
Diners Club cards
Vaibhav jain
6. Credit Cards
A credit card is plastic money that is used to pay for
the products and services at over 20 millions
locations around the world. All you need to do is to
produce a card and sign a charge slip to pay for your
purchases.
Vaibhav jain
8. Master cards & Visa
MasterCard and Visa are global non-profit
organizations dedicated to promote the
growth of the card business across the
world.
Vaibhav jain
9. Charge cards
A charge card carries all the features of credit
cards. However, after using a charge card you
will have to pay off the entire amount
billed, by the due date . If you fail to do
so, you are likely to be considered a defaulter
and will usually have to pay up a steep late
payment charge.
Vaibhav jain
10. Smart cards
A plastic card containing a computer chip and
enabling the holder to purchase goods and
services, enter restricted areas, access
medical, financial, or other records, or perform
other operations requiring data stored on the
chip. Smart card is currently introduced by
BRTS which stands for Bus Rapid Transit
Services in Gujarat in India.
Vaibhav jain
12. Co-branded cards
Co-branded cards are credit cards issued
by card companies that have tied up with
a popular brand for the purpose of
offering certain exclusive benefits to the
consumer.
Vaibhav jain
13. Global cards
Global cards allow you the flexibility and
convenience of using a credit card rather than
cash or travellers checks while travelling
abroad for either business or personal reasons.
Vaibhav jain
14. Diners Club card
Diners Club is a branded charge card. There are
a wide variety of special privileges offered to
the Diners Club cardholder. For instance, as a
cardholder you can set your own spending limit.
Besides, the card has its own merchant
establishment tie-ups and does not depend on
the network of MasterCard or Visa.
Vaibhav jain
15. Advantages of Plastic Money :
Purchasing Power
Time Saving
Extra Safety
Credit Limits
A need of emergencies
Additional features
Gurpreet Singh
16. Disadvantages of Plastic Money :
Shops using other vendors
Less Global availability
Worn out Magnetic strip
Increased Debt and High Interest Rates
Fraud
Over Budget
Gurpreet Singh
17. Comparison with foreign countries.
India is still lacking in terms of :
- Infrastructure
- Networking
- Professionals
Lack of support from government.
Plastic money gets scanned through the tax
scanner due to E-transaction.
Zahabia Africawala
18. Implementing rules without corruption.
Lower literacy rates compared to other
developed and developing countries.
Educating customers.
Language barriers breaking the channel of
communication.
Zahabia Africawala
19. 21st Century, its time for
Liberalisation, Privatisation and Globalisation.
In banking sector there is a challenge for
Indians in terms of coping up with new
technologies.
No matter, innovation is the key to success in
any organisation but it doesn’t responds the way
customers should.
According to Credit Card Management
Consultancy, Indian are still averse to
credit and there has been no change in
mindset.
Zahabia Africawala
20. People using Plastic money.
Zahabia Africawala
http://www.europeanjournalofsocialsciences.co
m
22. Less than 100000
9%
100000 to 500000
44%
500000 to
1000000
20%
1000000 & above
27%
Income group using plastic money
http://www.europeanjournalofsocialsciences.com
23. 14%
53%
50 to 60
23%
10%
Percentage of Age group using plastic money in
India.
18 to 35
35 to 50
50 to 60
above 60
http://www.europeanjournalofsocialsciences.com
24. Conclusion
21st Century
banking has become wholly customer-
driven &technology driven by
challenges of competition, rising customer
expectations & shrinking margins, banks
have been using technology to reduce cost
enhance efficiency, productivity &
customer convenience.
Zahabia Africawala