Top 5 Credit Card Networks In The World

Top 5 Credit card Networks:

Hello friends in this article well get the information about credit cards networks. It will help you select a more valuable more secure card. You will get an idea about how the credit card system is functioning. When we use our credit card, how the vendor’s banks money are transfer to the merchant’s account, and how the overall transaction is come to an end.

I know you are interested to know this whole concept, let’s start and check with these top 5 credit card networks in the world.

What Is Credit Card :

A credit card is a payment card that allows the cardholder to borrow funds from the issuer up to a certain limit in order to make purchases or withdraw cash. The cardholder is then required to pay back the borrowed funds within set days by issuer.

We have already seen what is credit cards and it’s A-Z, if you not, can check here: what is credit card.

So in this article, we will see some more detailed information about Credit Card Networks.
First we will know what is Credit Card Network, and how they work? What is the role of credit card networks.

What is Credit Card Network:

A credit card network, also known as a payment network or card association. The company that facilitates electronic transactions between merchants and the financial institutions like banks, NBFCs and service provider.

The most are the popular name of credit card networks are Visa, Mastercard, American Express, and Discover etc. These networks provide the infrastructure and services for merchants to accept credit card payments.

It is including processing transactions, approving or declining them, and settling funds between merchants and financial institutions. They also providing controlling services to establish and enforce rules and standards for the use of cards. They checked and very the dignity of transaction maintain complete control, and work to prevent the frauds.

I hope your understand the credit card networks means what? So lets see some top networks in the world their journey. How they start and reach till the date.

Let’s see some top 5 Credit card Networks:

1) Visa:

What is Visa Card?
Visa is the largest credit card network in the world, with over 3 billion Visa cards in circulation and more than 200 million merchants accepting Visa cards globally.

Visa is a global payments technology company that operates the world’s largest retail electronic payments network. The company was founded in 1958 as the Bank of America National Trust and Savings Association’s Bank AmeriCard. Later it’s change the name and became “Visa” in 1976.

Over the years, Visa has grown to become one of the most widely accepted forms of payment in the world. Today’s date Visa had over 3.4 billion Visa-branded credit cards, debit cards, and prepaid cards in live circulation.

The company is providing payment network facility over 150 billion transactions annually, with a total value of over $10 trillion. Visa card providing it’s service more than 200 countries across the world. Now you can understand that why Visa Card is important? and Why this credit card networks is leading?

2) Master Card:

MasterCard is the second-largest credit card network in the world. After the Visa Card, over 2 billion MasterCard cards in circulation and more than 44 million merchants are accepting this cards globally.

MasterCard is a multinational financial services corporation which provides payment services. It also includes most of the segment like credit card, debit card, and prepaid cards. MasterCard is also a publicly traded company. It’s stock is listed on the “New York Stock Exchange” (NYSE).

What is master card?

MasterCard, originally known as “Interbank” and later “Master Charge,”. It was founded in 1966 by a group of banks as a competitor to the Bank of America’-owned’s “Visa credit card network”.

In 1979, MasterCard became a publicly traded company, and in 2002, it changed its name from “Master Charge” to “MasterCard.” Today, MasterCard is one of the trusted brand in the world. MasterCard is also providing it’s service more than 200 countries across the world.

Recent years, MasterCard has been investing in new technologies such as digital payments and blockchain, and expanding its services to include B2B payments, Cyber security, and other financial services.
So this way the MasterCard Credit Card Networks has established him self.

3) American Express:

American Express card, also known as Amex. This card is another major credit card network, with over 112 million in circulation and more than 17 million merchants accepting the same globally.

**American Express:** Credit Card Networks

What is American Express Card?

It also offers a variety of products and services, including credit cards, charge cards, and traveler’s cheques. This card is considered a “premium” credit card, meaning that it is generally more exclusive and carries more benefits and perks than a traditional credit card. This card has change the view of card holders and introduce the rewards system to attract the user.

Rewards and benefits, such as cash back, travel rewards, and exclusive access to events and experiences. In addition to its credit and charge cards, it offers personal loans, savings accounts, and insurance.

History of American Express Card:

The American Express Company was founded in 1850 as an express mail business in Buffalo, New York. In 1857. The company expanded its services to include money orders, which became very popular with immigrants and others who needed a safe, easy and more reliable way to send their money.

By 1882, the company had introduced its first traveller’s cheques. One more innovative idea, which were a convenient and secure way to carry their money while travelling.

American Express Card started it’s services in financial sectors, such as foreign exchange and investment advice. The company also expanded internationally, by the end of the 1970’s. American Express cards were accepted in more than 175 countries. Day-by-day this Credit Card Networks is being improving their services and maintain himself as a big competitor.

4) Discover Card:

Discover is a another leading credit card network from the United States. Over 60 million Discover cards in circulation and more than 7 million merchants accepting it.

What is Discover Cards:

Discover Card is a credit card brand issued primarily in the United States. It was first created by Sears in 1985 and later became an independent company in 2007. This card particularly known for its cashback rewards program.
This card gives cash back on their purchases, as well as other benefits to the cardholders. It’s goes one step ahead and gives offer as zero annual fee, and a freeze their account in case of loss or theft. Which was became very famous on that days.

Discover Card also offers “student credit card”, “Secured credit card” for people with bad credit. This company offers personal loans, savings accounts and additionally issues a payment network service.

This is became publicly traded company listed on the NASDAQ stock exchange. Discover Cards were accepted in more than 200 countries. Like this Discover Credit Card Networks, brings innovative ideas and make itself healthy option.

5) UnionPay:

UnionPay is the largest Credit Card Network in China and has the largest acceptance network among all the credit card networks in the world. Over 8 billion UnionPay cards in circulation and more than 40 million merchants accepting this cards globally.

What is UnionPay Card:

UnionPay is a Chinese financial services company that operates the largest card payment network in China. These cards can also be used to withdraw cash from ATMs and for online shopping, pay your regular bill payments, and other financial needs.

UnionPay was established in 2002 by the People’s Bank of China. The goal of creating this card was to make domestic card payment network that could compete with international networks especially Visa and MasterCard.

Initially, UnionPay cards were only accepted in China, but the company has expanded its network. In present this cards were accepted in more than 45 countries, with include merchants and ATMs.

The company has also focused on expanding its e-commerce and mobile payments services. This card’s global acceptance rate is growing rapidly, now this card is become the third largest global card payment network and accepted in more than 171 countries around the world.

It continues to expand its services and partnerships in order to make it easier for its cardholders to use their cards both in China and around the world. This way Union Pay Credit Card Networks is first non-American brand raising and proving himself.

Role of card payment network:

What is the role of card payment network in credit card?

A card payment network, such as Visa, MasterCard, American Express, Discover, and RuPay, plays a crucial role in the credit card transaction, over all ecosystem. The main role of a card payment network is to provide facility for make transactions between merchants, banks, and cardholders by electronic way.

When any cardholder uses his credit card to make a payment, then that merchant send transaction information to the card payment network. Then payment network’s came in role to sends the request to the issuing bank (credit card issuer) for authorization.

After that, this institution checks the cardholder’s details, his available credit limit, and other related parameters, then revert with an approval or denial message to the merchant via card payment network.

If the transaction is approved, payment network issue the payment from the cardholder’s bank account to the merchant’s account. Like this, these payment networks provide information of transaction between the banks and merchants, also maintain complete record, such as sales, amount, date and credit card information etc.

These card payment networks also provide advanced security to protect fraudulent transactions. In addition some card payment networks provide cardholder agreements, determining fees, charges associated with credit card, rewards programs, dispute resolution, and customer service etc.

Conclusion:

It’s not like that only these 5 networks cards are offered by many banks and financial institutions, which issue credit cards on behalf of these networks. The numbers provided above are approximate and may be subject to change. The analysis is done on the date of publishing the article, so it may be vary.

There are other many cards are use for credit card payment network. Indian Rupay Card is also one of them.

Overall, card payment networks are played a very very important role in connecting merchant’s bank and cardholders and made this system as smooth as you use your wallet.

I hope you like this information about credit cards and its credit card networks, If you think really you get something extra and it helped you to get sound knowledge. Please share it with your loved ones, thanks a lot for you valuable time!

Happy infolipsing!