Visa vs Mastercard?

angel

Could someone explain what the difference is between a Mastercard and a Visa card?

Many Thanks!

gt94sss2

angel wrote: »

Could someone explain what the difference is between a Mastercard and a Visa card?

Visa and MasterCard are different payment systems rather than credit cards and they both rely on banks all around the world to issue cards that use their payment system. From this they take a % of the amount charged to retailers to take payments via these cards. In return the retailers get a certain degree of assurance that the goods / services they have sold will be paid for.

Different banks are members of the different payment systems so issue Visa and/or Mastercard cards. (Some will issue both)

Retailers also choose whether to join the Visa or Mastercard payment systems - which reflects which cards they will accept.

In the UK, most retailers will accept both cards but in other places in the world, this isn't always the case..

Regards
Sunil

Mozette

This is interesting. I know some places won't accept AmEx. Do you know which is the most widely accepted? I tend to use Visa abroad as that's what my Nationwide card is, but I've not had a problem with it.

Hazzanet

I've always tended to carry one of each just in case, but I haven't come across anywhere that wouldn't take the Nationwide Visa. Generally, where one is taken, so is the other, but as pointed out above, this isn't always the case (I'm yet to find a situation where this happens though).

A number of retailers won't acept AmEx (allegedly) because of the high fees and commission that they charge. MC and Visa are the two most widely accepted.

SoozyJ22

There's one bank in Canada (possibly RBC) who only accept Mastercard at their ATMs, but other than that my Visa card has always been accepted when I've used it abroad.

The other reason you may like to have both a Visa and a Mastercard is very occasionally one of the networks may go down - as happened back in April when Visa Europe had massive problems putting in some software/system changes and all transactions on Visa cards ended up being declined for a few hours.

Mozette

Cheers for that info. I did tend to take a back up card with me on holiday, but must admit never considered if it was Visa or Mastercard. Makes sense though, and I'll be sure to take one of each in future.
Thanks!

greyteam1959

Hazzanet wrote: »

I've always tended to carry one of each just in case, but I haven't come across anywhere that wouldn't take the Nationwide Visa. Generally, where one is taken, so is the other, but as pointed out above, this isn't always the case (I'm yet to find a situation where this happens though).

A number of retailers won't acept AmEx (allegedly) because of the high fees and commission that they charge. MC and Visa are the two most widely accepted.

The only reason retailers dont accept American Express / Amex or whatever it is called now is because of the high fees.
Most Credit Card fees are around the 1.5 % or 2 % range Amex is 3 % or more.
Makes a lot of difference on a years turnover for a business.

angel

SoozyJ22 wrote: »

There's one bank in Canada (possibly RBC) who only accept Mastercard at their ATMs, but other than that my Visa card has always been accepted when I've used it abroad.

It's interesting that you mention RBC as that's where my boyfriend banks and he has a Mastercard which is what triggered my question in the first place.

Thanks to everyone for all of the other answers too!

Hologram_2

Payments via Visa seem to be problem in France as they prefer Mastercard for some reason. Also both the Bahamas and the Carribean both accept Mastercard anywhere and Visa only some places. When I've had to travel with my job I've always used my Post Office credit card as it's one of the free ones and I've had no problem with it. When I had my Nationwide card I filled my hire car to the brim with petrol in France and they wouldn't take it for payment. Total nightmare! - I applied for the PO one straight away and have had no problem since.

If you intend appyling for the PO card make sure you use Quidco for the £20.50 credit and please read my note about the Hospice society.

gt94sss2

Mozette wrote: »

This is interesting. I know some places won't accept AmEx. Do you know which is the most widely accepted? I tend to use Visa abroad as that's what my Nationwide card is, but I've not had a problem with it.

Visa is currently probably the largest payment network in the world (and traditionally slightly more popular than Mastercard in the US)

MasterCard is more popular in Europe and catching up with Visa globally - in fact I think there are actually more banks which now issue Mastercard globally rather than Visa.

Even over the last 10 years or so, I have seen several of my UK credit cards change from Visa to Mastercard..

However, both Visa and MasterCard are widely accepted all around the world and you unlikely to find too many outlets that will accept Visa and not MasterCard - though its also wise to be prepared for places which don't accept any credit cards - even in large Western European countries (the UK is a bit of an exception in that they are widely accepted)

As has been said, with American Express its more difficult. Its not a widely accepted as Visa and MasterCard in the UK although the number of outlets are growing. But most major shops and restaurants should accept the card and if you travel abroad regularly it can be used in most places - especially in the USA.

Regards
Sunil