[angerbot]

Visa provides protection from a lot of risk on both the buyer and seller's side.

As a seller I know that if a Visa payment clears I'll be getting that money, even if the customer doesn't have it. I don't need to arrange financing or risk taking a check that may bounce long after the customer has disappeared.

As a consumer, I get some measure of protection from fraud and have the option of doing a chargeback and letting Visa sort things out with the vendor if something is not as described.

[fra]

Just to be clear: as a seller you are not indemnified by Visa if you accept a fraudulent payment. In that case, the money is taken out of the seller's account and returned to the buyer.

[dlubarov]

> As a seller I know that if a Visa payment clears I'll be getting that money, even if the customer doesn't have it.

But it's the issuer, not the network, that bears that credit risk. When a cardholder defaults, the issuer takes the loss.

[omarchowdhury]

The issuers ARE the network. Visa is a network of banks.

[dlubarov]

No, it's an independent company which has relationships with many issuers and many merchants.

[segmondy]

You really have no idea how the payment card industry works. Visa provides 0 protection to the buyer or the seller.

The card issuer/bank provides protection to the buyer. NO ONE provides protection to the seller. The seller's are 100% expose and lose most disputes. With EMV, some of the risks will move but not much. All online transactions are keyed, so not subject to any protection.

Visa doesn't sort out anything, they provide a network and take a cut. Disputes happens between issuer, processor in the middle and merchant. If the processor fails to recover the money from the merchant then the processor is on the hook.

[mankash666]

What you really need is online cash. Like real cash, but online friendly to facilitate e-commerce.

No cash back. No fees... Just simple transactions, like walking upto the cash register and paying with cash.

[cortesoft]

And if the person you ordered from fails to send you the item? Or sends you a defective item? Or if someone steals my info and spends my cash?

Credit cards act as an escrow service to protect against all of those things. Cash (and its online equivalent) has a place in the world, but so do credit cards.

[raverbashing]

> No fees...

Suuuuure

Filling cash registers, sending money to the bank and counting money is free, and there's no loss from theft or mistakes

Oh they aren't? Then money is not free of fees

[mikeash]

I don't really want, and definitely don't need, that sort of thing. I'd much rather pay for online purchases using something that protects me in the event of fraud.

[Spivak]

Hence the existence of credit cards. It would be nice to have these protections without the line of credit attached but you can just ignore it if you want.

[JustAnotherPat]

why would we need that? Most people opt for credit over cash even in person. Credit offers protection. B@tcoin does not.