China Union Pay Has Revolutionized Banking in China
Every country has a domestic bank care organization that provides electronic payment processing. In America, the major providers are Cirrus and Plus. China Union Pay is the only bank card organization in the Peoples Republic of China. China Union Pay also is the only interbank network and EFTPOS network in the country. It began in 2002, launched in Shanghai with only four member banks. China Union Pay is the final unifying company that has successfully brought together China’s interbank and credit card network. It is the successful outgrowth of the Golden Card Plan that was created in the early 1990s.
China Union Pay is now accepted in over 100 countries at the ATM and POS level. This means that Union Pay debit or credit card holders can travel internationally and still enjoy all the convenience of electronic payments. This company has shown incredible forward thinking and continues to expand its global network. The number of reciprocal agreements that is has finalized in the less than ten years since its inception are simply amazing. Not only are China Union Pay cards accepted world wide, they are also issued world wide. 10 international banks are able to issue Union Pay cards upon request.
Interbank, POS and Credit Card networks are what allow merchants to accept credit cards. They are the framework behind the entire concept. Without this cooperation among banks and other financial institutions, it would be impossible to instantaneously debit checking accounts and lines of credit. These networks manage an incredible amount of data. Every electronic transaction processed passes through their systems. Providing consistent and secure data transmission is only a small part of what China Union Pay offers. An interbank network allows ATMs from all member banks to talk with each other and provide needed information. It is this system which allows card holders to visit any local ATM to withdraw money or check a balance. Each bank may charge a service fee for transactions by non account holders, but account holders can access their funds from any ATM.
The EFTPOS network allows card holders to make purchases at retailers using their debit cards. Essentially, this network treats the POS terminal as an ATM that only withdraws funds. No deposits are available, and withdrawals over the amount of purchase price are usually limited to small amounts. However, this system offers incredible flexibility to consumers making it a highly desirable network. This does not include the credit card network, which China Union Pay also provides. China Union Pay offers electronic payment processing networks which cover all uses including credit cards, debit cards and ATMs.
Within the last decade, China Union Pay has created an integrated network system that serves all of China. It also makes these services available to card holders on a global scale. Before the advent of the Union Pay system, China could not take its place in the world wide economy in a truly strategic fashion. Now that Union Pay has created the necessary integrated networks and signed contracts brining it to over 100 countries globally, card holders have all the functionality that Cirrus and Plus customers have had for years.
