1. How do sellers benefit from allowing their customers to use credit cards?
the credit card provide a ready line of credit which enables a merchant to benefit from the credit without having to bare a risk of the borrower. the credit card companies will charge the merchant a small fee on each transaction as consideration for absorbing that risk. also, as my colleague pointed out, a credit card allow the customer to make purchases from the merchant they might otherwise not have available cash for, thus allowing the merchant to realize an immediate benefit.