Re:How I discovered the underground world of credit card net...
by dheera on Wednesday August 02, 2023 @05:32PM
(#36977877)
I used CC companies loosely as in {issuing banks + credit card companies} and their collective profit model.
> In reality everyone pays
Not really, credit card companies give you cash back if you pay on time, which is percentage-wise similar to merchant fees.
They've successfully convinced the public of the opposite though. It's a very common misconception that only "suckers" who buy on credit pay for it and that everyone else is getting a free service as long as they pay off their cards in time. In reality everyone pays because the merchants have to pay those fees and they pass the cost on to the consumer.