Visa and MasterCard both used worldwide as methods of making payments. While Visa claim to have almost a billion cards issued, MasterCard has over twenty five thousand banks issuing its cards and it is difficult to find any difference in the number of locations worldwide that accept the cards, which is now estimated at over twenty million.
In fact, as far as most consumers are concerned, there are no difference's between the two. Both Visa and MasterCard are accepted in almost anywhere in the world and It is almost impossible to find a location that will favour one card over the other.
However, neither Visa nor MasterCard actually issue any credit cards themselves. They are both simply methods of payment. They rely on banks in various countries to issue credit cards that utilise these payment methods. Therefore, the interest rates, rewards, annual fees, and all other charges are issued by your bank and when you pay your bill you are paying it to the bank or institution that issued your card and not Visa or MasterCard.
Usability
In the past Visa was accepted more universally than MasterCard, but that is no longer the case. It is now rare to find a location where one is accepted but not the other. Both claim to be used as methods of payment at around 20 million merchant establishments in over 150 countries.
Previously there was a more significant gulf in difference between Visa and MasterCard. However, nowadays the differences between the two have narrowed to the point that they are almost indistinguishable, but there are some factors you may want to consider.
Visa claims to have 1.6 billion cards issued, and cardholders have access to about 1.2 million ATMs worldwide. MasterCard avoid direct comparison by stating that they process over 18 billion payments per year.
Security
Visa can offer you protection when shopping online, with their new ‘Verified by Visa’ scheme. MasterCard by comparison have implemented a new ‘SecureCode’ scheme, which protects online purchases in a similar manner.
It’s optional to sign up for these schemes when you shop online with participating merchants, but doing so adds extra security to purchases and gives you added peace of mind. They both work by setting you up with a password or secret number which you will be required to enter whenever shopping online.
Reward Schemes
Both card companies have reward schemes in place, with different offers available for their respective customers. Some credit cardholders may like to carry both a Visa and a MasterCard, in order to take full advantage of the promotions connected with each.
There are slight differences between how much Visa and MasterCard will charge credit card providers (and by extension, you) for foreign currency exchange fees, for example. However, by and large the two are very competitive when it comes to charges.
If you are planning on travelling abroad, it would be advisable to find out whether Visa or MasterCard is more prevalent in the countries you will be visiting. However, remember that both are global, so it is unlikely you will run into any problems if you favour one over the other.
What else should I consider?
It’s worth bearing in mind that neither Visa nor MasterCard set fees or determine interest rates on your card. These are arrived at by the bank or building society who issued your card. As a customer you are unlikely to be affected to a great degree by the negligible differences between the two companies. Therefore it is advisable to pay more attention to what individual credit card providers offer you than whether or not the card is administered by Visa or MasterCard.
When deciding on which credit card to opt for, shop around to find the best deal by provider. Whether or not you prefer Visa or MasterCard, compare the Visa and MasterCard deals on offer to see which would suit you best.
A Visa card or MasterCard issued by one bank will bear little resemblance to those issued by other banks, because it is up to the banks to determine individual criteria associated with your card – such as interest rates, balance transfer rates, and the various terms and conditions. You can read up about Visa and MasterCard online, but ultimately it is more important to consider the bank your card is being issued by.
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