BUS2 531 Lecture 5: Class 5 September 20
Document Summary
Two basic payment systems that we have in canada: governed by cpa (1980) Domestic cheques: canadian dollar/us dolllars cheques drawn on canadian accounts. Pad (preauthorized debit) / dd (direct deposit) Interac (person to person email transfer of funds: handles a great variety of payments, used very often, but for smaller values, created in 1980. Lvts: large value transfer system: wholesale payment system, typically but not mandatorily deals with huge payment. Mandatory for payments worth 25m dollars or more. Payments by credit card: handled by credit card networks, not by the cpa, each network is a payment system, advantage of credit card payment system: they are planetary. * cash does not use any payment system, cash is already cash. ** paypal payments are handled through the credit card network. People use a lot of paper instruments, but also electronic form of payments. Every cross-border payment is not handled by the canadian system.
