Write a note on payment mechanism

cbse
emerging-business

#1

The payment for the products bought via online shopping can be made through any of the following ways:

  1. Cash on delivery (COD): Under this method, the cash payment for the goods ordered online is to be made at the time of physical delivery of goods.
  2. Cheque : Under this method, the vendor before
    making the delivery of goods makes arrangement for collecting the cheque from the customer.
  3. Net banking transfer : The amount for the agreed price of the transaction is transferred by the buyer to the account of the online vendor through electronic transfer.
  4. Credit cards or debit cards : The holders of credit cards are allowed to purchase goods on credit. The card issuing bank makes the payment to the online seller for the amount due to the card holder on account of purchase. The bank transfers the amount to the credit of the seller while the buyer’s account is debited. The buyer is provided freedom of depositing the money in instalments according to his convenience.
    Debit cards: The holder of the debit card is allowed to make purchases to the extent of the amount lying in his account with the help of the card. The payment for any purchase made by the card holder is deducted electronically through the card.