Question

Write short notes on the following:

Payment Mechanism

Answer 1

The following are the different payment modes generally available to a trading website user.

i. Cash on Delivery (CoD) - Here, the payment is made in cash at the time of the delivery of the product.

ii. Cheque - The user makes the payment through a cheque. When the cheque is realised, the selected goods are then delivered by the seller.

iii. Net Banking - The user makes an electronic payment and transfers the correct amount to the bank account of the online vendor through the internet.

iv. Credit or Debit Card - The user can use a credit or debit card (also known as plastic money) to make an online payment.

v. Digital Cash or E-Cash - This type of currency has no physical existence. It is a system of purchasing cash in relatively small amounts and storing it in the computer system.