by 
The Curious Bag
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Credit cards are loan instruments; they loan money to cardholders at a certain interest rate. Every participant in the process has a different way of measuring whether a particular account is successful.
History
The Diner's Club issued its first cards to New York restaurant customers in 1950; American Express expanded into charge cards in 1958. BankAmericard (later Visa) was the first unrestricted"revolving" charge, allowing customers to pay partial balances.
Judging Success
Merchants had extended credit to customers for use in their establishments for years but bank-issued credit cards could be used for a variety of payments. The success of a credit card depends on the benefit or profit for stakeholders, consumers, merchants and issuing banks.
Card-Holders
Cards are successful when consumers can use them for many purposes and afford payments. Most consumers want a low interest rate on unpaid balances too.
Merchants
Cards are successful for merchants when they make increased sales possible. Low default rates and affordable service fees determine whether a card succeeds with a merchant.
Issuer
Banks that issue cards assume risk for loans represented by card accounts. When interest and fees exceed the amount lost because of defaults, cards are successful for their issuers.
Source:
POPCenter: Credit Card Fraud Prevention; Barry Masuda
ABC Guide: Credit Card Benefits
"Time" Magazine: A Brief History: of Credit Cards
More Information:
Consumer Action: 2009 Credit Card Survey
GovTrack: H.R. 627 Credit Cardb Accountability Responsibility Disclosure Act of 2009
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