Credit Card

A Credit Card is a payment instrument, typically a plastic or metal card issued by a financial institution, that allows a cardholder to borrow funds up to a pre-approved credit limit to purchase goods and services, with the obligation to repay the borrowed amount, often with interest, on a revolving basis. The card operates within a four-party payment network, involving the cardholder, the merchant, the issuing bank, and the acquiring bank, facilitated by a card network like Visa or Mastercard, to provide instant, globally accepted, short-term credit at the point of sale.