It's easy to take credit cards for granted, seeing as how we've had them handy for so long. As a matter of fact, you may not know that credit cards date back as far as the mid-1900s, which is where a bit of history can come into play. As a matter of fact, the man who was responsible for creating the credit card in the first place went by the name of Frank McNamara. Here are just a few of the important details about him, courtesy of Bob Jain.
While the following story about Frank McNamara has since been debunked, it's an interesting tale all the same. For those who do not know, back in 1949, McNamara was in Manhattan, enjoying dinner with someone he worked with. Once the meal was done and the check arrived, he came to the realization that he didn't have money to cover said bill. McNamara's wife soon arrived at the restaurant with the money, but it's been said that this created the idea of credit. As stated earlier, though, this admittedly interesting tale has been proven untrue.
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.
For those who do not know, the Diner's Club actually had 27 restaurants it worked with during its onset. To put it into simple terms, if you dined at one of the eligible location, you'd be able to use your credit card there. Anyone who worked on a tight budget, or simply forgot to carry cash, would see this as a worthwhile option. The Diner's Club would make money with fees being placed on the cards in question; these are common with many credit options available today. As Bobby Jain Credit will tell you, this idea was revolutionary for the time.
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.
While the following story about Frank McNamara has since been debunked, it's an interesting tale all the same. For those who do not know, back in 1949, McNamara was in Manhattan, enjoying dinner with someone he worked with. Once the meal was done and the check arrived, he came to the realization that he didn't have money to cover said bill. McNamara's wife soon arrived at the restaurant with the money, but it's been said that this created the idea of credit. As stated earlier, though, this admittedly interesting tale has been proven untrue.
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.
For those who do not know, the Diner's Club actually had 27 restaurants it worked with during its onset. To put it into simple terms, if you dined at one of the eligible location, you'd be able to use your credit card there. Anyone who worked on a tight budget, or simply forgot to carry cash, would see this as a worthwhile option. The Diner's Club would make money with fees being placed on the cards in question; these are common with many credit options available today. As Bobby Jain Credit will tell you, this idea was revolutionary for the time.
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.
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Please go to Bob Jain Credit for further financial tips from Bob Jain CS.. Also published at Learning About Frank Mcnamara, With Bob Jain.
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