Case History: The ‘Transax’ Story

Abstract

The reluctance of the major British clearing banks to provide their customers with cheque cards guaranteeing payment of amounts in excess of a miserly hundred pounds has played right into the hands of the credit and charge card operators. And who benefits from a substantial share of credit and charge card transactions? Why, the banks themselves! Either through the interest they charge their credit card customers (and, of course, the annual fee), the percentage they charge ‘merchants’ (shops, restaurants, hotels, etc.) or the processing costs they charge each other, American Express and Diners Card, the banks win every time.