Final answer:
A credit card is not a form of payment authorizing the collector to transfer funds electronically, but rather a short-term loan where you borrow money from the credit card company and pay it back later.
Step-by-step explanation:
A credit card is not a form of payment authorizing the collector to transfer funds from the payer's bank account to the collector's bank account. It is actually a form of short-term loan. When you make a purchase with a credit card, the credit card company transfers money from its own checking account to the seller, and at the end of the month, they send you a bill for what you have charged. Until you pay the bill, you have effectively borrowed money from the credit card company.