You know that credit cards can cost you money directly through interest and fees. But do you know who else is financially affected by your credit card use? There are at least three different groups that make money when you use your credit cards to spend it.

Here are the three groups that make money when consumers like you use credit cards.

1. Credit Card Companies

These are the major credit card brands (such as Visa, MasterCard and American Express). They make money when you charge purchases to your card because they charge transaction fees to the merchants you shop with. It’s a fee merchants pay for the privilege of being able to accept credit card payments.

2. Issuing Banks

These are the companies or banks that directly issue your credit cards. For example, the issuing bank for the NAB Gold credit card is the National Australia Bank. Issuing banks are the ones who collect your annual fees, interest payments, late fees, balance transfer fees, cash advance fees, and other account fees tucked away in your terms and conditions.

You usually have some say over how much money issuing banks get. For instance, you can often avoid paying them interest if you pay your balance off in full each month to take advantage of interest free days. You might also choose a no annual fee credit card like the Bankwest Zero credit card to cut back on periodic payments to your issuing bank.

3. Retailers

Let’s not forget about the retailers themselves. It’s not just that you’ll spend money in their stores. It’s that credit card users can spend more than they otherwise would if they shopped with cash.

The convenience makes it easier for people to make impulse purchases. That’s why retailers are willing to accept those merchant fees for the privilege of accepting credit cards. They know if they don’t, you might not spend as much.

Some of these payments tied to your credit card transactions also apply to debit cards (when you use them like a credit card rather than using your PIN for example). And while it might not affect your decision to use a credit card or debit card for convenience, at least now you have a better idea of how the money flows when you do.