History of Credit Cards in the World and Indonesia

In this day and age, credit cards are very popular among the people of Indonesia. Not like before, having a credit card is not a strange thing and can be proud of, because many people already have a credit card. But do you already know how the credit card was born? How did the credit card develop until now? You are very lucky because here we will review the history and development of credit cards. It’s not hard to trace how the history and development of credit cards. Many references can be traced to understand how the development of this tool.

The credit card that was not yet born that can be predicted by the famous novelist named Edward Bellamy. In the work of his novel entitled “Looking Backward”. He always revealed the term credit card nearly 11 times. Many people assume that this is the forerunner to the birth of the idea to make a credit card.

Development of Credit Cards in the World

Development of Credit Cards in the World

Maybe around the 1900s, several companies such as gas stations and supermarkets in the United States had introduced credit practices such as through shopping cards that are commonly used by their customers.

This card is intentionally issued by the company and only functions as a member card. With the expectation of consumers becoming more loyal, company management is also tidier to take care of all consumer data which will later be used as data marketing.

Beginning in 1946 the credit payment system began, which was pioneered by banking institutions in the United States. Banker named John Biggins from Flatbush National Ban of Brooklyn gave birth to this system with the name “Charge It”. This system was created to facilitate customers in conducting transaction activities in various stores or merchants who are also bank customers.

Diners Club Card

The next development was marked by the birth of the Diners Club Card. This card was born in 1949. It was discovered accidentally by Frank McNamara who was doing dinner at a fancy restaurant. When it was finished eating, the bill came and he could not pay because his wallet was left behind.

Now to overcome this problem, he made a unique card as a substitute for cash payments. This Diners Club Card is similar to a Charge card. And this is where the embryo of the birth of the credit card that we know today.

Since 1951, the Diners Club Card is increasingly used by many people and is so famous in the United States. In that year also found material to make Diners Club Cards. The material is made of plastic because previously the card was made of paper.

American Express, Visa and MasterCard performance

American Express, Visa and MasterCard performance

American Express saw this great opportunity. When everyone is busy using Diners Club cards, American Express also does not want to lose to issue similar cards. The issued card is called AMEX (American Express) and is of the type of a Charge card.

The next development was born the credit card as we know it today. The first credit card issued by Bank of America (VISA). And it was only in the 1960s that there was a massive expansion and education about the benefits of this credit card until everyone understood and understood the usefulness of this transaction tool.

And only around the 1970s, the United States began to establish policy regulations on the use of credit cards. The rules are even clearer, the goal is for this business to flourish. Now, this is where the development of credit cards began to spread to various parts of other countries, such as Europe, Arabia, Africa, Australia, Asia, up to Indonesia.

Development of Credit Cards in Indonesia


Credit cards have begun to develop in the world, such as in the United States to Asia, Europe, Australia, and finally to Indonesia. We cannot reject the entry of credit cards in to Indonesia, because this is related to the development of technology and information. And also the existence of credit cards is really needed by the people of Indonesia, especially for those who live in big cities.

The first time credit cards entered Indonesia occurred around the 1980s. Introduced by Bank Duta who at that time formed a partnership with VISA and MasterCard International. Bank Duta is the first bank to issue and market credit cards in Indonesia. Previously, the Duta bank credit card was specifically aimed at its own customers and was not free for the general public.

In contrast to now, where credit cards can be used by anyone. In the past, the target market of the credit card business was only aimed at the rich, business people, officials, and other upper-class people.

So You Are Interested in Having a Credit Card?

Today, any discovery that requires sacrifice and a long process, as well as credit cards. Even though the market is growing, it doesn’t mean you can apply and use it however you want. Because by using it, then you already owe it to the bank.

Imagine if the debt is piling up without being able to pay off, of course, your life will also be chaotic. Indeed, it does not hurt if someone has a credit card, in fact, we must have a credit card, considering that this credit card is an important thing in meeting our daily needs. So, interested in using a credit card?

Add a Comment

Your email address will not be published. Required fields are marked *