This group also comprises non-banks such as American Express. In the case of payment cards, the settlement mechanism is similar for both debit and credit cards. The only difference lies in bank-customer relations. If the service provider has no POS terminal, it must submit a paper slip giving the details of the transaction to the settlement centre with which it has signed a settlement agreement. The agreement provides for a specific period for effecting the settlement.
Cards issued by Polish banks carry magnetic strips.
Polish banks are considering equipping cards with microprocessors. A few banks have commenced testing such card products. Generally these cards can be used at ATMs and POS terminals or with manual imprinters. At the end of June 1998 Polish banks had issued 1,021,000 debit cards and 441,000 charge cards. Initially many banks were issuing cards that allowed only for cash withdrawals at the ATMs of the issuing bank.