It's easy to take credit cards for granted, seeing as how we've had them handy for so long. As a matter of fact, you may not know that credit cards date back as far as the mid-1900s, which is where a bit of history can come into play. As a matter of fact, the man who was responsible for creating the credit card in the first place went by the name of Frank McNamara. Here are just a few of the important details about him, courtesy of Bob Jain.
There was once a story about Frank McNamara that has since been debunked. Nonetheless, it's still an entertaining tale that deserves to be covered. Back in 1949, McNamara was enjoying a nice dinner in Manhattan with a business associate. When the check came, McNamara realized that he didn't have the money to cover the bill. While his wife soon arrived with the appropriate amount, it sparked an idea in his mind. This particular tale goes to show that, in many cases, fiction is indeed stranger than reality.
The real story is as follows: McNamara, who was an executive at the Hamilton Credit Corporation, started to see that his business was slipping. He knew that money had to be had, so he suggested the idea of a credit card to his friends. According to financial authorities like Bobby Jain CS, this card would be used in order to cover meals, before being paid for later. This would be an effective option for those who forgot to carry cash. Shortly thereafter, McNamara formed the first American credit card company named the Diner's Club.
The Diner's Club was so revolutionary for its time that the premise started with 27 participating restaurants. If you were a member of the Diner's Club, you would be able to sign for bills at restaurants, with the promise that they would be paid back in the future. Not only was this useful for those who forgot their money, as was the case with the false story covered earlier, but others that worked on tight budgets in general. The Diner's Club charges issued fees to help the company make a profit, which aren't much different from modern credit card fees that Bobby Jain Credit can observe.
There's no denying the importance of this history, not only in terms of the Diner's Club but the work of Frank McNamara in general. The aforementioned history was so influential in fact that a number of other credit card companies, American Express included, came into being years after the Diner's Club. Nowadays, credit is one of the most preferred methods of payment for people. Needless to say, McNamara's efforts helped to push this trend forward.
There was once a story about Frank McNamara that has since been debunked. Nonetheless, it's still an entertaining tale that deserves to be covered. Back in 1949, McNamara was enjoying a nice dinner in Manhattan with a business associate. When the check came, McNamara realized that he didn't have the money to cover the bill. While his wife soon arrived with the appropriate amount, it sparked an idea in his mind. This particular tale goes to show that, in many cases, fiction is indeed stranger than reality.
The real story is as follows: McNamara, who was an executive at the Hamilton Credit Corporation, started to see that his business was slipping. He knew that money had to be had, so he suggested the idea of a credit card to his friends. According to financial authorities like Bobby Jain CS, this card would be used in order to cover meals, before being paid for later. This would be an effective option for those who forgot to carry cash. Shortly thereafter, McNamara formed the first American credit card company named the Diner's Club.
The Diner's Club was so revolutionary for its time that the premise started with 27 participating restaurants. If you were a member of the Diner's Club, you would be able to sign for bills at restaurants, with the promise that they would be paid back in the future. Not only was this useful for those who forgot their money, as was the case with the false story covered earlier, but others that worked on tight budgets in general. The Diner's Club charges issued fees to help the company make a profit, which aren't much different from modern credit card fees that Bobby Jain Credit can observe.
There's no denying the importance of this history, not only in terms of the Diner's Club but the work of Frank McNamara in general. The aforementioned history was so influential in fact that a number of other credit card companies, American Express included, came into being years after the Diner's Club. Nowadays, credit is one of the most preferred methods of payment for people. Needless to say, McNamara's efforts helped to push this trend forward.
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