The reason is the amount of money Visa charges for transactions.
There are credit cards which are even more expensive (Diners Club), but even the five percent charged by Visa makes this very unattractive for sellers. Diners Club charges a whopping ten percent!
These charges reduce the net gain of selling wares and are sometimes even higher than the total gain - obviously a ridiculous concept.
In Europe the EC-Card (formerly known as EuroChecque), which is a direct-debit card, is much more feasible, since it is both quite widespread and charged much less for transactions.
There are actually two different modes of operation - "EC Cash", which is secured by a four-digit PIN which has to be entered by the card's owner, and bank withdrawal, which is usually authorized by a signature (but needn't be). This is the most economic way of payment and has the least risk for the customer - because every such bank withdrawal can be reversed without the hassle associated with credit card withdrawals.
There are credit cards which are even more expensive (Diners Club), but even the five percent charged by Visa makes this very unattractive for sellers. Diners Club charges a whopping ten percent!
These charges reduce the net gain of selling wares and are sometimes even higher than the total gain - obviously a ridiculous concept.
In Europe the EC-Card (formerly known as EuroChecque), which is a direct-debit card, is much more feasible, since it is both quite widespread and charged much less for transactions.
There are actually two different modes of operation - "EC Cash", which is secured by a four-digit PIN which has to be entered by the card's owner, and bank withdrawal, which is usually authorized by a signature (but needn't be). This is the most economic way of payment and has the least risk for the customer - because every such bank withdrawal can be reversed without the hassle associated with credit card withdrawals.
