Unit 1.3 - payment methods Flashcards
atm
automated teller machine , cash machine
bacs
the centeral payment system used to process different types of electronic payment
bankers draft
similar to a cheque, but payment is signed ands guaranteed by financial services provider that issues it. Used for large sums of money
cashback
service offered by some retailers when customers pay by card.
cash card
a card used to withdraw cash from atms or branch counters
CHAPS
clearing house automated payment system - a same-day payment system for high-value transactions, such as house purchase
cheque
written instruction to provider to pay a specified amount to specified person or organisation.
contactless card
card that can be read by holding it in front of card reader. used for low value payments
debit card
card that can be used to withdraw cash, make face-to-face transactions in shops or over the phone
direct credit
electronic payment into an account (e.g. salary)
direct debit
electronic payment out of an account
faster payments
electronic payment service that enables payments to be made within 2 hours
mandate
paper or online instruction to a provider to make a payment from an account
prepaid cards
card that has to have money credited to it before card holder can use it to pay. Once initial money runs out, can be topped up again.
standing order
electronic payment out of an account. standing order are used to make regular payments of same amount
