E-Auction : Types, Benefits, Fraud and Prevention
An auction is a process of buying and selling goods or services by offering them up for bid, taking bids, and then selling the item to the highest bidder. In economic theory, an auction may refer to any mechanism or set of trading rules for exchange. It is characterized by the competitive and dynamic nature by which the final price is reached. Electronic auctions (E-auctions) are auctions conducted online. There are many types of Auctions like English auction, Dutch auction, Sealed first-price auction, Vickrey auction, forward auction, reverse auction, silent auction, top-up auction and so on.
In a regular auction, purchasers are allowed to place a bid on an item, which is the amount they are willing to pay in order to buy the item. The person who places the highest bid usually ends up with the item. With a reverse auction, however, the opposite is true. More specifically, the buyer advertises a need for an item or service. Then a pool of suppliers or sellers is selected. A Request for Quote (RFQ) is sent out to the suppliers. Suppliers then place bids for the amount they expect to be paid in order to perform such a service or provide such an item. Generally, the supplier who places the lowest bid will win the job or sell the item.
Sellers can reach the most interested buyers and sell the things at price which equal to buyer valuation by broadening the customer base and shortening the disposal cycle time. they can eliminate the need to predict demand.
2) Better customer relationships
Buyers and sellers have more time and chances to interact with each other. Seller can gather information about customer interest and delivery more personalized content.
Compared to manual auctions and liquidation, E-auctions offers lower transaction cost. Cost of selling will be lower too.
Benefits to buyers
An electronic reverse auction with multiple, qualified bidders can be used to flush out the true market price of the auctioned items. Furthermore, this information can be used as the basis for real-time benchmarks for future sourcing projects. Auctions spark healthy competition, which can help all participants understand the true market value and identify areas where they need improvement. A buyer benefits by knowing true – often lower – costs. Suppliers benefit by knowing the market rate so they can review their own business or pricing model.
3) Anonymity. Nobody knows who are the buyer, only can see that the price is increasing.
Fraud & Prevention
Related links:
1)http://en.wikipedia.org/wiki/Auction
2)http://en.wikipedia.org/wiki/Forward_auction
3)http://www.wisegeek.com/what-is-a-reverse-auction.htm
4)http://www.finance.gov.tt/documents/172.pdf
5)http://www.esourcingwiki.com/index.php/E-Auctions_in_Sourcing#Benefits_of_online_auctions_.E2.80.93_Suppliers
6)http://www.crimcheck.com/background-check-news/whats-internet-auction-fraud-and-how-do-i-prevent-it
Electronic Payment
Electronic payment (e-payment) is any digital financial payment transaction involving currency transfer between two or more parties. It is an electronic payment device that is used in modern times. This has payment by via net possible to businesses, banks and citizens. However, it is important that when you are talking about e-payment you should know that they are connected e-Business and moreover, the online payment has become one of the solutions to businesses.When it comes to payment options, nothing is more convenient than e-payment. You do not have to write a check, swipe a credit card or handle any paper money; all you have to do is enter some information into your Web browser and click your mouse. It is no wonder that more and more people are turning to e-payment as an alternative to sending checks through the mail.
Methods and types of electronic payment
An e-payment is any kind of non-cash payment that does not involve a paper check. Methods of e-payment include credit cards, debit cards and the Automated Clearing House (ACH) network. The ACH system comprises direct deposit, direct debit and electronic checks (e-checks).
For all these methods of e-payment, there are three main types of transactions:
1. A one-time customer-to-vendor payment is commonly used when you shop online at an e-commerce site, such as Amazon. You click on the shopping cart icon, type in your credit card information and click on the checkout button. The site processes your credit card information and sends you an e-mail notifying you that your payment was received. On some Web sites, you can use an e-check instead of a credit card. To pay by e-check, you type in your account number and your bank's routing number. The vendor authorizes payment through the customer's bank, which then either initiates an electronic funds transfer (EFT) or prints a check and mails it to the vendor.
2. You make a recurring customer-to-vendor payment when you pay a bill through a regularly scheduled direct debit from your checking account or an automatic charge to your credit card. This type of payment plan is commonly offered by car insurance companies, phone companies, and loan management companies. Some long-term contracts (like those at gyms or fitness centers) require this type of automated payment schedule.
3. To use automatic bank-to-vendor payment, your bank must offer a service called online bill pay. You log on to your bank's Web site, enter the vendor's information and authorize your bank to electronically transfer money from your account to pay your bill. In most cases, you can choose whether to do this manually for each billing cycle or have your bills automatically paid on the same day each month.
Benefits of Electronic Payment
1. E-payment is very convenient for the consumer.In most cases, you only need to enter your account information, such as your credit card number and shipping address once the information is then stored in a database on the retailer's Web server. When you come back to the Web site, you just log in with your username and password. Completing a transaction is as simple as clicking your mouse. All you have to do is confirm your purchase and you're done.
2. E-payment lowers costs for businesses.Low set-up and transaction fees. The more payments they can process electronically, the less they spend on paper and postage. Offering e-payment can also help businesses improve customer retention. A customer is more likely to return to the same e-commerce site where his or her information has already been entered and stored.
3. No risks.
When processing the order, you can be sure, that the order has been paid for. Your credit risks are thereby significantly reduced.
4. It is simple.It is easy for customers to pay with e-payment. They only have to use their Solo Internet codes to approve the pre-filled payment order and the transaction is done!
5. Speed.
Confirmation of the payment made by customers reaches the organization in moments.
(a) Easy to integrate into the merchant web site.
(b) Comprehensive reporting tools provided via the e-payment web site with secure log in.
(c) Ability to acquire a merchant account with multiple banks.
(d) 24-hour support line.
(e) Outsourcing of security means less reason for merchant site to be attacked.
Concerns about Electronic Payment
1. Identity theft. The main drawbacks to e-payments are concerns over privacy and the possibility of identity theft. Fortunately, there are many safeguards available to protect your sensitive personal information from falling into the wrong hands. You can defend yourself against identity theft by using virus protection software and a firewall on your computer. You should also make sure that you send your credit card information over a secure server. Your Internet browser will notify you when a server is secure by showing a lock or key icon. In addition, the URL on a secure site is usually designated by the prefix "https" instead of "http." Retailers do their part by using data encryption, which codes your information in such a way that only the key holder can decode it.
2. Privacy concerns aside, some people simply dislike making e-payments. They find the setup too time-consuming and do not want more logons and passwords to remember. Others simply prefer the familiarity of writing checks and dropping envelopes in the mail. For some people that do not have the basic computer skill, there mind be a problem for them to do e-payment as well. Regardless of these concerns, e-payment will likely continue to rise in popularity.
3. There is a great risk involves in the theft or losing of the smart cards. In case the cards fall in unsafe hands, there is a danger of the expenditure of your entire bank balance. There are measures to inform the concerned authorities about the loss of the card. But, the time between losing the card and informing the authorities is critical. Unauthorized users may carry out transactions in your name during this period of time.
CONCLUSION:
This was not to discourage you from taking to electronic payments although there are some disadvantages of e-payment. It was rather to make you aware of the disadvantages of electronic payment systems. While we are moving towards a paperless environment, we are inviting issues related to electronic security.
With all the benefits of e-payment, it is no wonder that its use is on the rise. E-payments grew as payment by check declined, which means that e-payments are replacing checks.
Related Links:
1. http://communication.howstuffworks.com/electronic-payment.htm
2. http://star-techcentral.com/tech/story.asp?
3. http://ezinearticles.com/?Disadvantages-of-Electronic-Payment-Systems&id=2003183
A discussion on E-learning offered in Malaysian universities: Pros and Cons from the students perspective
Electronic learning (or E-Learning) is a term for all types of technology-enhanced learning (TEL), where technology is used to support the learning process. Often the medium of instruction is through computer technology, particularly involving digital technologies. E-learning has been defined as "pedagogy empowered by digital technology". In some instances, no face- to- face interaction takes place.
E-learning is used interchangeably in a wide variety of contexts. Lately in most Universities, E-learning is used to define a specific mode to attend a course or programmed of study where the students rarely, if ever, attend face-to-face for on-campus access to educational facilities, because they study online. Universities which provide online degrees involve more and more electronic facilities to give their online students fast and qualified assistance.
There are several benefits and challenges to E-learning. Here are some pros and cons from the students’ perspective.
Pros:
(a) All of students’ class materials, assignments, lectures, quizzes are made available by students’ instructor online. This benefit is particularly advantageous for those of students who have ever lost class documents. Now students can go back to the class webpage (eg: utar called it as wble) and print out copies whenever they need them. With an e-learning course, students can also review assignment details and lecture materials any time.
(b) Students can access the information online from any internet-ready computer. Non-traditional students, for examples those with full-time jobs and/or those with children and other family priorities, will enjoy this flexible learning environment that allows them to dedicate time and attention to their day-to-day responsibilities and still be successful students.
(c) Support different learning styles (using flexible learning materials).
It accommodates multiple learning styles using a variety of delivery methods geared to different students and is more effective for certain learners.
(d) Encourage anytime, anyplace access to course materials.
24/7 accessibility makes scheduling easy and allows all the students access to the e-learning site (eg: wble) anytime. This on-demand access means learning can happen precisely when needed.
(e) Fosters greater student interaction and collaboration
Increase opportunities for student participation, encouraging less confident students to take part. Students can have better interaction and discussion in the forum. The online environment is far easier (and often more comfortable) to work in since students do not have to be face-to-face.
(f) Travel time and associated costs (parking, fuel, and vehicle maintenance) are reduced or eliminated. Students no need purposely go to universities to get some information.
(g) Overall student costs are frequently less (tuition, residence, food, transportation) if compare with offline learning.
(h) Fosters greater student or instructor contact. This can facilitate the communication between students or promoting peer group support. This can also improve communication with course tutor and teaching assistants.
(i) Enhances computer and Internet skills. By having E-learning, students must have some computer and internet skills to make our learning process successful.
(j) Provide self-directed and self-paced learning, allowing students to keep track of their own progress.
(k) Promote student engagement (using interactive learning materials), improving learner motivation and satisfaction.
(l) Give direct access to relevant and up-to-date information.
(m) Alternate and complementary ways of learning often help to facilitate students’ understanding.
(n) Improve universities of course materials.
(o) Students can do preparation of future topics, and revision of previous topics.
(p) Increase the accessibility of information and course materials to students with disabilities.
Cons:
(a) Large classes are more challenging to teach online than in the classroom. In most cases, 15 students are the largest number of students that an instructor can accommodate within an online class.
(b) Lack of face-to-face communication with lecturers and tutors contribute lack of understanding between students and lecturers or tutors. While a lecturers or tutors cannot easily feel a student's demands, interests and motivations, a student can simply be lazy being non-motivated enough and having free time schedule for his or her E-learning. This may result a low scope of the student's knowledge and the lecturers' or tutors’ accusation in lack of proficiency.
(c) Next, online classes, conferences and discussions are limited in time and totally exclude emotional interactivity. Though some universities which provide online courses and give online degrees evolve voice communication through networking technologies but there is still lack of gestures, vivid dialogue and feeling of students’ interlocutor's presence.
(d) Of course, less motivated employees will have difficulty dealing with the lack of structure in a self-paced E-learning program. Deal with that issue by scheduling time off for your employees so they can complete the assigned module. Also consider setting up an area that's quiet and conducive to learning, so workers can focus on their coursework.
In conclusion, like any form of teaching, E-learning requires various resources to be developed successfully. Things to keep in mind is E-learning does not have to be the only way of students course is delivered. It is often E-learning is delivered through "blended learning", in which E-learning is used to complement traditional educational methods. Besides that, E-learning could be a large or small part of students’ course.
E-learning has been becoming more and more popular among students living in Malaysia. There are pros and cons on e-learning studies. So, there is no good or bad on E-learning studies, but by having E-learning, there are much more benefits if compared with the disadvantages. As a students, need to make good use of the E-learning that provided by universities.
Related Links:
1. http://garts.latech.edu/tamaram/elearning/page2.htm
2. http://www.worldwidelearn.com/elearning-essentials/elearning-benefits.htm
3. http://www.nottingham.ac.uk/elan/getting_started/benefits
4. http://en.wikipedia.org/wiki/Electronic_learning
Corporate Blogging: A new marketing communication tool for companies
BLOGS, defined as web pages that serves as a publicly accessible personal journals have been attracting media and public eye for the last few years. The amount of registered blogs is huge and still increasing. Such phenomenon, appreciated and popularized by many internet users, has also been regarded in literature as innovative communication tool for business. That is why the new term has been coined – corporate blog.
Corporate blog is a weblog published and used by an organization to reach its organizational goals. The purposes of blog usage can be grouped in three fields – brand building (include leadership), customer service (include product development) and promotion (include sponsorship and advertising).1. Leadership corporate blogs
E-government in Malaysia : Its Implementation So Far and Citizen's Adoption Strategies
E-government is a short form for electronic government. E-government is also known as e-gov, digital government, transformational government and lastly online government. Basically, e-government is the use of technology to enhance the access to and delivery of government services to benefit citizens, business partners and employees.The local, state and federal government set up a central website where the public can find the public information, download government forms and contact government representatives. It involves computerized and automation of existing paper-based procedures. E-gov aims to make the interaction between government and citizens (G2C), government and business enterprises (G2B), and inter-agency relationships (G2G).
The implementations of e-government in Malaysia are:
a) Generic Office Environment (GEO)
b) Electronic Procurement (eP) Project
c) Human Resource Management Information System
d) Project Monitoring System (PMS)
e) Electronic Services Directory (eServices)
f) Electronic Labor Exchange (ELX)
g) E-Syariah
a. Generic Office Environment (GEO)
The goal of GEO is to introduce a fully integrated, distributed and scalable office environment that leverages the use of multimedia information technology. This project is to have an effective and efficient communication among the workers, allowing collaboration across the workers within the organisation and to ensure the right information reaching the right person in a timely manner.
The aim of eP is to re-engineer, automate, and transform the current procurement system. Electronic procurement covers central contract, tender, and direct purchases. Besides, the use of eP is save time, money and encourages the electronic and joins K-economy.
c. Human Resource Management Information System (HRMIS)
HRMIS provide a single interface for government employees to perform human resource function effectively and efficiently in an integrated environment. It standardizes human resource processes for federal, state, statutory body and local authority services. HRMIS is not just record keeping but it also provide transactional functions such as employee selection, recruitment, leave application and loan processing.
PMS create a mechanism that monitors the project implementation throughout various government agencies and statutory bodies. Besides, it provides a platform to exchange idea and to demonstrate best practices in information management and communication services. PMS consist of 3 services which are Application Services, Data Services and Communication Services.
It is a pilot project which allows the Malaysian citizens to engage in transactions with government and utilities payment such as telephone and electricity bills, police summons, Road and Transport Department Services and so forth. Besides, it is accessed through multi channel service delivery such as Internet and kiosks machine.
ELX aim is to improve the mobilization of human resources and optimize work force utilization through systematic matching of job seekers to job vacancies. Besides, it also enables the Ministry of Human Resources (MOHR) to be one-step centre for labor market information that will be accessible to the public.
The main aim of e-syariah is to implement the quality of service in syariah courts. Basically, it enhances Islamic Affairs Department’s effectiveness through better monitoring and co-ordination if its agencies and improves the management of its 102 syariah courts. E-syariah application consists of Syariah Court Case Management System, Office Automation System, E-syariah Portal, Syarie Lawyers Registration System and Library Management System.
* The above is adopt from an article wrote by Mohsin bin Haji Ahmada) Customer satisfaction
E-government is able to increase customer satisfaction. Nowadays, customer is able to solve their inquiry and also enquiry through online government services. Whatever public information customer is able to obtain through the website and they don’t need to make a call to the office. Everything can be done online.
b) Service quality
Online service quality for e-Government could be measured in terms of quality of content provided on the website. The example would be the speed of responding to citizen’s query with a solution to it. Besides, there is also telephone and fax number of the personnel to whom the citizen might want to interact with about other mean if necessary.
c) Website design
The design of online government could build the relationship with the visitor and enhance their experience. This is due to the personalization of websites and customization of product offerings. Basically, it give visitors a sense of control and participation.
Related Links:
1. http://webopedia.com/TERM/E/e_government.html
2. http://en.wikibooks.org/wiki/E-government/Definition
3. www.intanbk.intan.my/psimr/articles/Article1%20-%20Full.pdf
Review a local, transactional e-commerce site
Electronic Commerce consists of the buying and selling of products or services over electronic systems such as the Internet and other computer networks. The amount of trade conducted electronically has grown extraordinarily with widespread Internet usage. People who shop online are most familiar with transactional e-commerce site. A transactional site may be an electronic storefront for a brick-and-mortar retailer or a catalog business, like Lands’ End, or a manufacturer showroom for those wishing to sell directly to the public like Dell Computer. Transactional sites conduct full “end-to-end” transactions via the website, allowing customers to search for, order, and pay for products online as well as allowing them to contact the company for after-sales service. The most sophisticated sites create efficiencies by integrating the transaction process with back-office systems such as accounting, inventory, sales and others like Amazon.com.
http://www.dell.com.my/ is one of the local transactional e-commerce sites. Dell was founded in 1984 by Michael Dell on a simple concept, by selling computer systems directly to customers, could best understand their needs and efficiently provide the most effective computing solutions to meet those needs. Dell evolving business strategy combines the revolutionary direct customer model with new distribution channels to reach commercial customers and individual consumers around the world.
The way people connect and communicate is changing, and changing the world. A truly globalized information technology infrastructure and those who build, run and use it are creating a new era — the Connected Era. Already, IT connects communities, governments and businesses to one another and to a storehouse of information larger than we can imagine. In the Connected Era, these trends will only accelerate. While the future of the Connected Era will be shaped by many forces, Dell believes four inevitable priorities will define the next stage of technology which are regenerating, simplifying, listening and connecting.
In Dell website, consumer may from the Store welcome page, start by clicking on the icon for the particular brand and system type which are interested in. If the customer unfamiliar with the product line, can select "Learn More" to connect to online product catalog and get more detailed information about each of the system families listed. Then, proceed as directed.
Dell provides varieties of products and services. After choosing a system type of interest on the Store welcome page or after selecting "Continue", on a product page in Dell online catalog, click on one of the systems listed for the brand of interest. Dell also provides comparison features. Customer can select few models and made comparison based on the price, capacity and so on to help they consider which product most suitable for them.
After made up your mind, customer lick anywhere on the system's description to begin customizing own system. Dell’s systems are sorted by key attributes such as desktop type (e.g., mini-tower, mid-size, low-profile), processor type, and processor speed. Prices for systems, as they have been configured by Dell, are shown to help guide customer selection. But system price can vary greatly from that displayed based on the component selections make when customizing.
After customized, customer can review the order and able to view the full details including total cast and tax. Then customer needs to confirm whether the billing and shipping address are the same. The checkout page consists of 3 steps: delivery information, payment information and order information. Once the customer provide the information requested then can submit order to finalize the purchase.
Of course, the security and privacy of order information always are the main issue to the consumer. At Dell, consumer right to privacy and data security is a primary concern. That's why, when visit to dell.com, they help you maintain control over your personal data on the Internet. Dell only asks for specific types of personal information that will enable to enhance the site, to assist with purchase and technical support issues. It is completely optional for customer to participate. Dell only uses personal information for specific purpose. The information provided will be kept confidential and used to support customer relationship with Dell.
Related Links:
1. http://www.export.gov/sellingonline/typesofsites.asp
2. http://www1.ap.dell.com/content/topics/global.aspx/about_dell/company/history/history?c=my&l=en&s=corp
3. http://www1.ap.dell.com/content/topics/global.aspx/about_dell/company/connected_era/connected_era?~ck=ln&c=my&l=en&lnki=0&s=corp
4. http://www1.ap.dell.com/content/topics/topic.aspx/ap/topics/storeinfo/en/howtobuy?c=in&l=en&cs=inbsd1
The application of pre-paid cash card for consumers
Prepaid cash cards look like credit and debit cards and they offer the same ability to purchase products and services but with a crucial difference – people can only spend the balance that has been preloaded onto the card. This means there is no risk of running into debt as it has no credit or overdraft facility.
(a) Easy to Get, Easy to UseCredit Card debts: Causes and Prevention
A credit card is part of a system of payments named after the small plastic card issued to users of the system. It is a card entitling its holder to buy goods and services based on the holder's promise to pay for these goods and services. The issuer of the card grants a line of credit to the consumer (or the user) from which the user can borrow money for payment to a merchant or as a cash advance to the user.
Most of the time holding credit card is equal to holding debts. Credit debt results when a client of a credit card company purchases an item or service through the card system. Debt accumulates and increases via interest and penalties when the consumer does not pay the company for the money he or she has spent.
Is RM24.4 billion big money? This is the amount of credit card debt owed by Malaysians, according to Bank Negara Malaysia’s statistics as at end of March 2009. Speaking of credit debt reasons, we can pick out a host of various factors that may have a dramatic impact on financial situation.
Causes of debt ~
1. Poor Money Management
Poor money management is one of the best reasons why so many people accumulate lots of debt. Not having a monthly spending plan and not keeping track of monthly bills makes you unaware of where your money is going. People might be spending hundreds of dollars every month toward items that are useless and have no value in life, yet do not realize it. While money is going towards purchasing useless items, you might also be charging your necessary purchases on your credit card, forcing you to pay interest on these purchases every month.
2. Less Income, More Expenses
People prefer to pay with credit card because it is convenient and can be used regardless whether there is any money in your account. It so happens that the main breadwinner of the household loses the job but monthly expenses are not cut down in line with the reduction in income. People always hold more than one credit card, so they will use one card to cover the debts of the other cards. This obviously leads to higher interest rates and a rise in debt.
3. Savings little or not at all
Savings is the most simple and important way to avoid debt. We can pay with credit card for many things and it is crucial for us to pay off the balance each month. Sometimes we might have some unexpected expenses, if without some savings or during the layoff time we are not able to pay back the credit card bill and end up with a rise in debt.
4. Social Pressure
Social pressure one of the most common reasons people sight for getting into debt, it is the need to feel like they are keeping up with everyone else. In other words, it leads many people to unnecessarily spend money on things that they don’t really need so they can feel like they fit in. It is an age old cycle with devastating consequences.
5. High Interest Rates
Everyone can use the credit card but not everyone able to pay off the balance. Carrying a balance, though, is very costly. Interest rates can be as high as 21% and by paying the minimum payment per month (usually about 2% of the balance) credit card companies are quite happy to loan money for your purchases. If you unable to pay off, debt plus interest plus compounded interest it will cause accumulation of debts.
Prevention ~
The key to good health begins with a dose of prevention. Financial health is no different. By taking a few steps of prevention today, tomorrow your finances will have a clean bill of health freeing you to live a life of opportunity rather than of difficulty.
1. Manage your finances
First step is determining your monthly income and needed expenses. As part of these monthly expenses, figure in a portion of the income to set aside for emergencies, long range savings. If you have some savings then you avoid having to put large amounts of debt on a credit card in times of a crisis. Next, you have to stick to your budget and it is often more difficult task. In order to help you keep on track of the budgets, you may put motivators in place. But just keep in mind that whatever you choose as a reward, it shouldn’t compromise the hard work you’ve done in managing your finances.
2. Pay the balance in full and pay on time
Pay the balance in full is important in keeping control of your credit cards. Before using a credit card for a purchase, often ask yourself whether have fund to pay for this. In cases of emergencies where your emergency fund won’t cover the whole amount you need to charge, at least pay more than the required minimum payment. Never make a late is also a very important concept. Because of the universal default clause in credit cards’ terms and conditions, credit card companies can raise your interest rate if you are late paying any creditor or even your utility company.
3. Know the interest rate
Regardless if you pay the balance in full each month, you need to know the interest rate. This means not only knowing what interest rate you were offered, but also the interest rate the issuer actually gives you on approval. In addition, check the rate on your monthly statements because credit card issuers can raise your rates for little or no apparent reason and with little warning.
Even those who don’t carry a balance need to know their interest rate because emergencies do happen. While it’s always a good idea to have an emergency fund, sometimes the job search takes longer than expected leaving you with no other choice but to put some expenses on the card. If you’re not up to date on your interest rate, you might end up paying more in interest than you have to.
4. Keep the right perspectives
Now today, nearly everyone has access to a credit card. Much of the problem with credit card debt problems comes from changes in credit card availability, advertising, and values. There is a shift from saving for the future to a society of trying to keep up with satisfying the desire of the moment. Add the purchasing power that comes with a credit card and you have the perfect formula for disaster. There’s one thing that consumers have to know, it’s that you don’t have to be a slave to the credit card company or even to the seduction to be a slave to the credit card company or even to the seduction of advertising. You can have control over your financial health without depending on a credit card.
Other than that, credit card holders also can cut up cards so that not tempted to use them and just save one card for emergencies. Do not overspend. Yielding to the sale offers for something that you don't really need, is a big mistake that leads to overspending. Prevention is always better than cure. If we use credit card appropriately, we can enjoy the benefit of the cards and at the same time free ourselves from the problem of credit card debts.
Related Links:
1. http://www.3debtconsolidation.com/top10-causes.html
2. http://en.wikipedia.org/wiki/Credit_card_debt
3. http://www.credit-land.com/articles/articles_page_68600_1881780_120.php
4. http://www.nurido.at/news/social-pressure-a-cause-of-credit-card-debt-124653.html
5. http://www.cardratings.com/howtoavoidcreditcarddebt.html
Electronic currency
Over the years, money as we know it has been undergoing transformation. The shape and form of money has changed from precious metals to metal coins and paper money with no intrinsic value and today it presents us with a formless form in the name of digital or e-currency. E-currency refers to money or scrip which is exchanged only electronically. The digitization of money appears to be inevitable in the light of the recent developments with regards to the Internet and the various e-commerce opportunities presented by the World Wide Web.
One is backed by precious metal such as e-gold is backed by gold.
Another type of e-currency is backed by hard currency like Paypal.
The Octopus card is a rechargeable contactless stored value smart card used to transfer electronic payments in online or offline systems in Hong Kong. The Octopus card is also used for payment at convenience stores, supermarkets, fast-food restaurants, on-street parking meters, car parks, and other point-of-sale applications such as service stations and vending machines.
Making or recording a payment using the card for public transport or purchases at Octopus-enabled retailers can be done by holding the card against or waving it over an Octopus card reader from up to a few centimetres away without the user taking out the card. The reader will acknowledge payment by emitting a beep sound, and display the amount deducted and the remaining balance of the card.
In Malaysia, the first attempt at e-currency implementation was in 1999 with the introduction of MEPS cash in the Klang Valley. The initial response was not encouraging at all. The facilities to reload the cards with cash was limited, the outlets where MEPS cash was accepted was also few in numbers. However, the situation is quite different today where almost every ATM machine in the country is equipped with the ability to reload MEPS cash.
Another effort in implementing electronic money in Malaysia came in the form of the Touch and Go cards offered by Rangkaian Segar which is a private company. Touch ‘n Go cards were originally intended for toll payments along the Malaysian highways. The cards may either be linked to ones credit or bank card with automatic reload facilities to a stipulated maximum level once the amount on the cards fall to a predetermined minimum level. The cards may also be reloaded at some of the toll booths or at some banks ATM terminals. Despite the availability of these cards, it is not surprising to find long queues during peak hours along the cash booths along the local highways. Nevertheless, it is interesting to note that today the Touch ‘n Go cards are also used for other payments such as parking bays and train and bus fares.
