What material is used to print money?

Paper notes now replaced by polymer notes to make it durable. Here’s a few examples (not easy to find banknotes composition) from what banknotes made: 1) US dollar. Due to Bureau of Engraving and Printing US dollar composition: 75% cotton, 25% linen. Dollar bills durable, needed 4000 fold & unfold to tear note. Currency security […]

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Why online shopping sucks?

Temptation to buy more and more leads to accumulation of useless possessions. We buy more than what we need for happy life. Time when more possessions was necessary for survival gone but desire to accumulate items stronger than ever before. Useless purchases mostly done under influence of social media, TV, colleagues, friends. We want to […]

How to lose money from your savings account?

One of the worst but most used way is to store your wealth in cash (bank account). It’s wildly popular with heartbreaking consequences. Traditional way of saving money looks like this: Get paycheck Save 10-30% Deposit in bank on your saving account Get tiny interest rate Follow systematic investment plan Live below your standards Save […]

How American Express make money?

American Express Inc is financial services provider with worldwide presence. Established in 1850,headquarter in New York. IPO 1978 and listed in New York Stock Exchange. In Fortune 500 ranked number 86 with 181 billion in assets and around 120 million active cards. Price per share $99 (January 2019). Sources of revenue comes from 2 main […]

How banks make money on your debit card

Debit card is like plastic money without need to carry cash. Every time swipe, you use funds which already available. There are few ways how bank make money on every time debit card used. Banks earn less on debit cards compared to credit cards revenue. In table below comparison of debit vs credit cards parameters. […]

How banks make money on your credit card

Credit and debit cards look similar but influence differently on wealth utilisation. Credit cards issuing companies mastered a few main money making strategies: Interest rate applied on late payment Merchant interchange fees (mostly 2-5% of transaction value) Annual fees ($0 – $5000) Monthly fees ATM cash withdrawal (higher interest on default) Balance transfer Foreign transaction […]

Debit vs credit card basics

A few decades long discussion,over which type of card better fuelled by massive banks ads. For instance debit card better for your future financial wealth that credit card. Debit card technically is digitized form of cash which you already earned. Credit card is line of credit which you have to repay to avoid personal financial […]

China’s Union Pay business model

China’s Union Pay is financial services corporation established in 2002 with headquarter in Shanghai. It has monopoly protected by government. For many years Chinese market was closed to American competition (Visa, MasterCard, American Express etc), which resulted in significant growth to largest payment organizations in world. According to www.reuters.com American Express won permission to operate […]

Visa Inc business model

Visa Inc is global payment technology company established in 1958 headquartered in California. It’s second largest payment network after China Union (protected by government of China). As per Forbes magazine without China UnionPay , Visa Inc is biggest worldwide. In Match 2008 IPO (initial public offering) with 44 dollars per share. Traded in New York […]

How Visa, MasterCard, American Express make money

Digital payment era reshaped by payment networks like Visa, MasterCard, American Express and China Union. Due to Forbes market share without China Union data. Visa Inc is market leader with 52% market share. MasterCard and American Express each 22%. Visa Inc growing faster because of balanced expansion strategy based on competitive pricing and high ticket […]

Cashless countries

Electronic payment options revolutionized cashless payments world wide. But homosapiens used cashless payments in form of barter since first exchanges happened. Usage of cash considered complicated in many ways: Impossible online payments by cash Cash could be used as virus spreading tool If lost almost impossible to find Not resistant to water, fire, insects Danger […]