Credit cards are among the various luxuries that we take for granted. As a matter of fact, it's hard to believe that there was a time when purchases and transactions couldn't be charged. For those who would like to know when these cards came into being, you'd have to go all the way back to the mid-1900s. Specifically, you would have to learn about a man named Frank McNamara, which is a history lesson that the likes of Bob Jain can assist.
The details of Frank McNamara's personal life are few and far between, but what matters is the interesting way that the credit card that we use today came to be. A story came out that, in 1949 in Manhattan, he was enjoying a nice dinner out with someone from work. When the bill came, McNamara came to the realization that he didn't have money to pay. Even though his wife came to the restaurant with money to cover the bill. Even though this isn't the real story - it was a hoax that people still believe to this day - it was arguably more entertaining than the truth.
For those who want the true story, McNamara was once an executive at the Hamilton Credit Corporation. As he saw that business wasn't exactly on an uptrend, he proposed the credit card concept to his friends. What it would do, essentially, is allow people to cover restaurant bills via charge, with the amounts being paid off later. To say that this revolutionary would be an understatement, as I'm sure reputable authorities such as Bobby Jain CS can agree. It wasn't long until the first American credit card company, the Diner's Club, came to fruition.
When the Diner's Club was first erected, 27 participating restaurants worked with it. If you were a member of this organization, not only would you be given a credit card but you'd be able to use it at the restaurants in question. The company made money by issuing fees on the cards, which are quite common with many credit options used today. This was a revolutionary concept and one that would start an undeniable trend, as the likes of Bobby Jain Credit will be able to tell you.
The Diner's Club is not only an interesting piece of history, but the start that other companies needed in order to form. Years after the formation of the aforementioned credit card company, American Express would throw its hat into the ring; it's still a prominent credit issuer to this day. Nowadays, it's almost impossible to meet an adult that doesn't have a credit card in their possession. This might not have happened without the work of Frank McNamara.
The details of Frank McNamara's personal life are few and far between, but what matters is the interesting way that the credit card that we use today came to be. A story came out that, in 1949 in Manhattan, he was enjoying a nice dinner out with someone from work. When the bill came, McNamara came to the realization that he didn't have money to pay. Even though his wife came to the restaurant with money to cover the bill. Even though this isn't the real story - it was a hoax that people still believe to this day - it was arguably more entertaining than the truth.
For those who want the true story, McNamara was once an executive at the Hamilton Credit Corporation. As he saw that business wasn't exactly on an uptrend, he proposed the credit card concept to his friends. What it would do, essentially, is allow people to cover restaurant bills via charge, with the amounts being paid off later. To say that this revolutionary would be an understatement, as I'm sure reputable authorities such as Bobby Jain CS can agree. It wasn't long until the first American credit card company, the Diner's Club, came to fruition.
When the Diner's Club was first erected, 27 participating restaurants worked with it. If you were a member of this organization, not only would you be given a credit card but you'd be able to use it at the restaurants in question. The company made money by issuing fees on the cards, which are quite common with many credit options used today. This was a revolutionary concept and one that would start an undeniable trend, as the likes of Bobby Jain Credit will be able to tell you.
The Diner's Club is not only an interesting piece of history, but the start that other companies needed in order to form. Years after the formation of the aforementioned credit card company, American Express would throw its hat into the ring; it's still a prominent credit issuer to this day. Nowadays, it's almost impossible to meet an adult that doesn't have a credit card in their possession. This might not have happened without the work of Frank McNamara.
About the Author:
Kindly visit Bob Jain Credit for further financial tips from Bob Jain CS.. Unique version for reprint here: Bob Jain & The History Of Frank Mcnamara.