Answer #1

Between the two, credit card is the oldest way of issuing payments without the use of actual money or check during a transaction. It is known by its appearance as a small plastic card that enables its holder to purchase any goods or services under the holder’s assurance to pay for the purchased products or services in the near future. It is also nicknamed as “plastic money”. It can be used in any business establishments that acknowledge the bank or credit union that issued the card. And, it can also be used when shopping online.

In 1998, Peter Theil and Max Levchin founded Paypal as an online application intended to produce a secured transferring of payments between its member accounts (either a merchant or a buyer). The registration for membership and accessing its services is free. But of course, any company needs to earn and Paypal do this by fixing an additional payment or fee whenever a member requests to collect money. Paypal primarily operates under the existing frameworks followed by established banks and credit card companies. It also offer advanced technologies for fraud prevention to ensure safe and secured online transactions of its members.

According to the DailyBlogTips website, most people who answered its survey asking “Do you prefer to use Paypal or credit card for those online purchases?” have responded to use Paypal in their online transactions with 55.36% or 377 votes rather than using credit card that got a close result of 44.64% or 304 votes as of the moment.

Most customers favored and are satisfied with the use of Paypal because of its free and easy registration procedure along with hassle-free, fast, convenient, and dependable transaction. Credit card charges its holder through interest rates and is also viewed to be more risky than that of using Paypal account. In transacting using credit card, you will have to take into consideration the amount of credit limit that you have and if you still have money in your bank account. In the same way, Paypal will allow you to do online shopping as long as your account is loaded with cash. Either way, both are useful and advantageous as long as the account holder’s information is kept safe and secured from hackers.

Answered By: khristine [216 ]