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These services allow individuals to use their
credit card to pay another individual online. The payer sets up
an account with the service, and deposits money with his/her credit
card. Then s/he inputs information about who to pay, and the recipient
receives an email notification, and can sign in (or set up a new
account, if s/he doesn't already have one) to receive the money.
Users can withdraw funds from their account by requesting a wire
transfer to a bank checking account, or a physical check can be
mailed to him/her. While primarily for person-to-person payments,
some services also have business accounts.
PayPal
- The oldest and most popular service. Funds can be drawn
from credit cards or bank accounts. Offers an ATM card
for withdrawals. Also can be used to buy and sell on eBay.
Xoom
- Money transfers all over the world. The sender can
use the service online, and the recipient can have direct
deposit to a bank account, cash pick up, secure debit
cards, or home delivery.
