Key Points
- Credit cards are the best way to spend money on your purchases.
- It provides you with more safety than debit cards.
- Credit allows you to earn cashback and rewards for every dollar you spend.
- The majority of the United States had three credit card accounts.
- Some of the famous issuers and networks of credit cards are American Express, Discover, and MasterCard.
The idea of taking credit has been continuing for many years. But making the practice of credit has been made easier with the invention of credit cards in the mid-20th century.
Credit cards had been the most outstanding form of payment and credit facility. The credit card facility is the most convenient way of making payments for purchases both online and in-shop. Credit cards offer their customers with proper safety measures that debit cards provide. Some credit cards help us to earn cash back, rewards, and other bonuses every time we spend.
Credit cards have become an important aspect of the economy. According to a report published by Experian, everyone can’t spend without a credit card, which is the reason why the average population of the United States has at least three credit card accounts.
Credit Card Issuing Companies VS Networks
As a credit card holder, you may love that piece of plastic but still, before you select your new card, you must understand the types of credit card issuers and networks. You need to be aware of the companies that are issuing your credit card. The guide below will help you to understand your credit card issuers and networks about their features.
The network for credit cards helps companies and banks track and process all your credit card transactions. The network delivers complete information about your transaction from the trader to the bank and vice versa every time you swipe your card. There are four important networks in the United States:
- Discover: The Discover Global Network is also a card issuer that is utilized all over 200 countries. There are more than 270 million cardholders.
- MasterCard: MasterCard is a widely adopted and used card network. This card has users in more than 210 countries.
- American Express: World’s largest widely accepted payment platform via credit card is American Express. This is also recognized as a card issuer and network.
- Visa: This credit card is acknowledged in more than 200 countries and territories. There are more than 3.6 billion users of Visa credit cards.
Every card works on just one network. The use of your card depends on the network. Like, if you are using a credit card MasterCard then you can only operate your card with the only traders that accept MasterCard.
The bank is the issuer of your credit card as it is the financial institution that supports your card’s credit. When you are making payments for any purchase through a credit card, that payment is made by the bank that issued your card. The money will be sent by the bank and later you have to lay to the issuer i.e., your bank.
Different credit cards have different issuers and networks. An example of both issuers and networks is Discover and American. Below are some examples of credit cards with their issuers and networks.
- Chase Sapphire Preferred® Card: The issuer of this credit card is Chase and the network is Visa.
- Citi Premier® Card: The issuer of this credit card is Citi and the network is MasterCard.
- Discover it® Cash Back: As told earlier Discover is both issuer and network of this credit card.
- The Platinum Card®: Same goes for this card also American Express is both the issuer and network.
The Top Companies Of Credit Card Issuers In The United States.
Generally, every bank issues credit cards when asked by the customers. But in the United States, most credit card users have a card issued by a multinational bank or financial institution rather than any local bank.
According to a report by Nilson, the majority of the top credit card issuers in the United States have a holding of more than 80% in the market. Below is a list of two credit card issuers popular in the market.
- Banks Of America.
- Chase.
- Barclay’s.
- U.S. Bank.
- American Express.
- Capital One.
- Citi.
- Synchrony Bank.
- Discover.
- Wells Fargo.
The above bank has a lot of impact on the credit card market, so it is important to know something about them. Read below to know about each company.
American Express Co.
American Express aka Amex started issuing their credit card system after the 1950s. The first card was issued about 30 years later. According to the Nilson report released in 2020, this company is recognized as the second-largest credit card issuer in the United States. It is listed in the top six credit card issuers.
Below is a list of some of the famous American Express credit cards:
- The Platinum Card® from American Express Review.
- Blue Cash Preferred® Card from American Express.
- American Express® Gold Card.
- American Express Cash Magnet® Card.
- Delta SkyMiles® Platinum American Express Card Review.
Bank of America Corporation
Bank of America, shortened BoA, was founded in the 1990s in San Francisco earlier known as the Bank of Italy. BankAmericard, the first credit card issued by BoA the first customer credit card launched in 1958. This company is listed in the top five issuers. It is also considered the fourth largest issuer of credit cards by the percentage of purchases.
Check out the list of best credit cards by Bank Of America.
- Bank of America® Unlimited Cash Rewards.
- Bank of America® Customized Cash Rewards credit card.
- Bank of America® Travel Rewards credit card.
- Bank of America® Premium Rewards® credit card.
Capital One Financial Corporation
Capital One is a fresh bank founded in 1994. As soon as the company launched it started issuing credit cards and has evolved. This company holds a rank as the fifth largest company for issuing credit cards.
