Final answer:
Goods sold on an open account are typically paid for after delivery, relying on credit where payment is deferred to the future. A credit card payment, however, involves an immediate transaction with the credit card company paying instantly and the user going into debt. Sellers may offer a money-back guarantee to ensure buyer confidence, especially in online or catalog sales.
Step-by-step explanation:
Goods that are sold on an open account are typically paid for after delivery, not before. This method of transaction is based on credit, where the buyer receives the goods with the understanding that payment will be made in the future. In contrast, a credit card transaction involves the immediate transfer of money from the credit card company's checking account to the seller, while the credit card user incurs a debt to the credit card company to be paid off at a later date.
To reassure potential buyers and provide a promise of quality, a seller might offer a money-back guarantee. This can be particularly persuasive in online sales or mail-order transactions where the buyer cannot physically inspect the product before purchase.
Considering the historical context of trade during the Great Depression, it's noteworthy that the 'cash and carry' approach was favored to prevent US businesses from being affected by the fortune of indebted nations, unlike the credit and loan system implemented during World War I.