Nokia 808 PureView - The next breakthrough in photography

How a credit card works when you shop….??

A small situation to make us understand the funda…

Priya: I want to buy a Sony digital camera costing Rs.20,000, but I don?t have any cash right now. 

Raj: Why don?t you use your ICICI Bank credit card? Never heard them say ? Hum Hain Na?

Priya: I am quite skeptic about using these cards. I pay using the card, get a bill after 30 days and pay after another 20 days. This is a maximum of 50 days interest free loan. Why does any bank do it? If I borrow Rs.20,000 on personal loan at 11%. Interest to be paid for 50 days = Rs. 20,000 * 11% * (50/365) = Rs. 301.40. 

Here the bank is giving me a loan without interest when I use the credit card. Something is wrong somewhere!

Raj: Well? let me tell you how it works when you use your card to pay for the camera.  You present your ICICI Bank credit card ? a VISA card.  Sony World swipes your card on a machine provided by Citibank. Lets call Citibank ? the acquirer bank and the process of Sony World swiping the card on that machine ? requesting authorization . 

Citibank communicates with the card issuer ? ICICI Bank through VISA Network to check if the card is valid and has the required credit limit. 

ICICI Bank reviews and approves / declines which is communicated back to Sony World. 

You sign a receipt called Sales Draft given by Citibank. This is the obligation on your part to pay the money to ICICI Bank. Data on this receipt can be captured electronically and transmitted. 

At the end of day or at the end of some period Sony World chooses: 

Sony World submits the receipt you signed to Citibank who pays Sony World the money. Sony World pays Citibank a fee called Merchant Discount . Let us say this is 6% of the sale value = 6% * 20,000 = Rs. 1200 

Citibank sends the receipt electronically to a Visa data center which in turn sends it to ICICI Bank. ICICI Bank transfers the money to a settlement bank which in turn transfers the funds to Citibank.  Citibank pays ICICI Bank an Interchange Fee of 4% of the sale value = 4% * 20,000 = Rs. 800.  20 to 50 days later ICICI Bank gets the money from you ? and you don?t pay the interest!! 

Priya: Interesting! So Sony World pays more than the interest that I should have paid for the loan that I take. I, as a cardholder have the following benefits 

1. Convenience of not having to carry cash. 

2. Credit availability ? free of interest. 

However what benefits does Sony World get for paying so much money? Isn?t it more profitable for them to take cash? They can save as much as Rs.1200. 

Raj: Certainly. Some retail outlets offer you discounts if you pay by cash, don?t they? 

However when you don?t count the money that you are spending, you tend to buy more! Cards encourage this ? called impulse purchase . 

If you did not have access to credit, you would not have bought the camera this month ? or may be not any time soon either. By accepting cards, the merchant is actually extending you credit at the risk of the card issuer. He pays money to the banks to carry that risk. 

Priya: So ICICI Bank uses this money to pay back to us when they announce 5% cash back. They insist that the Sales draft that I sign at the retailer should also be from ICICI Bank. This means they are saving on the Interchange Fee and also pay me a part of the Merchant Discount that they get. 

Raj: Exactly! If you have noticed, ICICI Bank gives you the cash back in the next credit card statement. They keep the ?cash back? money for a maximum of 60 days before passing on a part to you. This accrues them interest too. 

Say if ICICI Bank earns an interest of 6% per annum for the cash they carry ? they get Rs.1000 * 6% * (60/365) = Rs. 10 

That is not huge, but money nevertheless. And when you consider that almost everyone in this city shops with a credit card these days, it is a big sum. 

Priya: And that also explains why banks tie up with petrol pumps ? like ICICI Bank has tied up with HPCL and I could re-fuel there without having to pay the fuel surcharge of 2.5%. The card issuer and the acquiring bank is the same and that saves interchange fees. 

Raj: Good! You seem to have figured out how it all works! Let me summarize: 

Priya: Sooper! Toh ab shopping chalein?? Lets not miss this Christmas and New year Shopping Festival! 

All the numbers used to explain concepts in this article must be treated only as an example. Merchant Discounts may vary from bank to bank. Interchange Fee is regulated by VISA and MasterCard

TIME's Best Inventions of 2010

All Nokia Codes....

These Nokia codes will work on most Nokia Mobile Phones

(1) *3370# Activate Enhanced Full Rate Codec (EFR) - Your phone uses the best sound quality but talk time is reduced my approx. 5%

(2) #3370# Deactivate Enhanced Full Rate Codec (EFR) OR *3370#

(3) *#4720# Activate Half Rate Codec - Your phone uses a lower quality sound but you should gain approx 30% more Talk Time.

(4) *#4720# Deactivate Half Rate Codec.

(5) *#0000# Displays your phones software version, 1st Line : Software Version, 2nd Line : Software Release Date, 3rd Line : Compression Type.

(6) *#9999# Phones software version if *#0000# does not work.

(7) *#06# For checking the International Mobile Equipment Identity (IMEI Number).

(8) #pw+1234567890+ 1# Provider Lock Status. (use the "*" button to obtain the "p,w" and "+" symbols).

(9) #pw+1234567890+ 2# Network Lock Status. (use the "*" button to obtain the "p,w" and "+" symbols).

(10) #pw+1234567890+ 3# Country Lock Status. (use the "*" button to obtain the "p,w" and "+" symbols).

(11) #pw+1234567890+ 4# SIM Card Lock Status. (use the "*" button to obtain the "p,w" Go to Top and "+" symbols).

(12) *#147# (vodafone) this lets you know who called you last.

(13) *#1471# Last call (Only vodofone).

(14) *#21# Allows you to check the number that "All Calls" are diverted to

(15) *#2640# Displays security code in use.

(16) *#30# Lets you see the private number.

(17) *#43# Allows you to check the "Call Waiting" status of your phone.

(18) *#61# Allows you to check the number that "On No Reply" calls are diverted to.

(19) *#62# Allows you to check the number that "Divert If Unreachable (no service)" calls are diverted to.

(20) *#67# Allows you to check the number that "On Busy Calls" are diverted to.

(21) *#67705646# Removes operator logo on 3310 & 3330.

(22) *#73# Reset phone timers and game scores.

(23) *#746025625# Displays the SIM Clock status, if your phone supports this power saving feature "SIM Clock Stop Allowed", it means you will get the best standby time possible.

(24) *#7760# Manufactures code.

(25) *#7780# Restore factory settings.

(26) *#8110# Software version for the nokia

 (27) *#92702689# Displays - 1.Serial Number, 2.Date Made, 3.Purchase Date, 4.Date of last repair (0000 for no repairs), 5.Transfer User Data. To exit this mode you need to switch your phone off then on again. ( Favourite )

(28) *#94870345123456789 # Deactivate the PWM-Mem.

(29) **21*number# Turn on "All Calls" diverting to the phone number entered.

(30) **61*number# Turn on "No Reply" diverting to the phone number entered.

(31) **67*number# Turn on "On Busy" diverting to the phone number entered.

(32) 12345 This is the default security code.

Building a formula 1 engine

Faulty Sony Bravia LCD To Be Taken Back

Sony has finally agreed to take back its 1.5 millions lcd television sets world wide for the repairs as they had a manufacturing defect of over heating and even the chasis of the lcd melted in some cases emitting the smoke. sony has initiated a program for in house repairs and inspections of the affected tv. The problem is reportedly restricted to three models of BRAVIA TV in Australia, with the transformer for the television's fluorescent backlight the component at fault. Transformers are widely used in electrical devices to convert mains power voltage into lower operating voltages, and produce heat as a byproduct of imperfect conversion. Sony Australia technicians will repair affected televisions in-house if necessary so no replacement or loan TVs will be granted to customers.

TOP 5 BEST LED TV IN INDIA

LED has become the latest new age craze among all. Today, people think that there drawing is incomplete without a good quality LED TV. Earlier it was LCD TV and now people are running for LED TV. There are plenty of brands who have LED TV available in the market. You must check out and buy the best LED TVone for your home. You must not rush and buy the first one you see. All the LED TV’s look attractive but among them you need to search and find out the best one for your use.

1 )  Sony Bravia KDL 32M4000

Sony Bravia KDL 32M4000 is the name that has surely made its place really strong in the market of LED TV. They are offering real good quality of audio, video, sound and everything. Right now Sony Bravia KDL 32M4000 is surely one of the best LED TV’s available in the market. The Bravia sync, VGA PC input, 2 HDMI ports, the digital signal processing of Bravia engine and the 32inch flat panel screen is just what you need. Once you place it in your drawing room you can see the awe in other’s eyes. This is what we all want. To decorate our home in such a way so that others do envy that. This sony led tv india price in India is not available

2) Samsung LN40A650

Samsung LN40A650 is another model that is creating the craze in the market. Samsung is known for their brand value and they are maintaining the quality even in case of LED TV. This is surely one of the best High Definition TV available in the market right now. The 1080p resolution and the color bezel makes this LED TV looks so elegant that you cannot stop yourself from buying this for your home.

3 ) Sharp LC-65D93U

Sharp LC-65D93U is another promising LED TV available in the market. The high brightness and colors makes it look vibrant and the picture looks crystal clear from any angle. The multi pixel technology, faster response timing and sharpness can make you feel like watching anything live. The actions and sci-fi looks great in this model. Once you buy this you will surely never regret for this decision ever.

4 ) Samsung LN46A850

Samsung LN46A850 is surely one of those models that can make you drool over it. The look, features and price everything is just perfect. If you are searching for a LED TV then this one is surely what you want for your drawing room. The advanced auto motion plus, the dynamic contrast ratio, fantastic pixel resolution and all other features are there. You will surely feel like watching live matches while watching on it. Enjoy the thriller and horror movies in it and you will surely feel scared and happy for your choice.

5)  Sony Bravia KDL46V4100

Sony Bravia KDL46V4100 is among those LED TVs that you can select even with close eyes. It can never betray you. The 1080p flat panel 46 inches TV can give the special touch to your room. It can even able to display videos and photos from your PC and laptop. The motion flow and bright colors make the picture look real.

If you choose any of these LED TV’s you will never regret in your whole life as these are some of the best LED TV’s available in the market right now.