Visa vs. Mastercard: What's the Difference?

Visa and Mastercard are the two largest payments networks. Both have billions of cards all around the world that bear their label. If you're trying to decide between Visa vs. Mastercard, whether you're looking for a debit card or credit card, know that both are great options.

However, there are a few key differences to keep in mind as you shop around. Here's the comparison of Mastercard vs. Visa from top to bottom.

Acceptance: Where can you use your card?

The most important thing for any credit card is that you can actually use it where you intend to spend money, and this depends on the card network. It's not uncommon to come across a merchant that doesn't accept American Express and Discover cards, especially while traveling abroad.

When comparing Visa vs. Mastercard in terms of acceptance, however, the difference is minimal: Most businesses that accept a credit card or debit card accept both. Both Mastercard and Visa are accepted at millions of businesses in more than 200 countries around the world. According to recent regulatory reports, there are nearly 4.2 billion Visa cards in circulation around the world. Roughly 3.1 billion cards bear the Mastercard brand name.

There are some notable exceptions, though. For example, Costco only accepts Visa cards due to a special deal it carved with the payments network and bank issuer (Citi). That said, you're unlikely to notice much difference in acceptance rates when using a Mastercard vs. Visa.

Market share

One significant difference between Visa and Mastercard is that Visa dominates the global credit market. Mastercard processes nearly less than half of what Visa does in annual payments and Visa's revenue is consistently higher.

In 2022, close to 40% of all global card transactions were made using a Visa-branded card. Approximately 242 billion purchase transactions worldwide were carried out using Visa payment cards during that year, resulting in an average of around 660 million Visa transactions per day. In comparison, Mastercard's total share of all card transactions is at 24%.

Card issuers

If you're loyal to a particular financial institution, the Visa vs. Mastercard debate might hinge on your preferred bank or credit card issuer's loyalty. Some of the largest card issuers only issue cards on one network, or favor one over another. We looked at some of the largest card issuers to see which networks they favor between Visa vs. Mastercard.

• Bank of America: This megabank offers various cash back and travel cards on both Visa and Mastercard's network. However, B of A has three times more Visa than Mastercards. This makes sense,since the predecessor bank of Bank of America spawned the company that became Visa as we know it today.
• Citi: This big bank has a clear preference for Mastercard. Of the cards in its lineup, only one, the cobranded card with Costco, is a Visa card. Its premier travel cards are all issued as World Elite Mastercard®s.
• Chase: One of the biggest card issuers on the block, Chase issues Visa cards almost exclusively, except for the IHG hotel card, Air Canada, the new DoorDash Rewards Mastercard® and Instacart Mastercards, and the card from its own Freedom lineup. Visa and Chase have a long-established relationship, one that seems unlikely to change any time soon.
• Capital One: Visa and Mastercard split the duty of helping Capital One cardholders make payments by plastic. The notable exceptions are its business credit cards, all of which are issued on the Visa network.
• U.S. Bank: Visa cards take the top spot at U.S. Bank, but this card issuer also has a couple of American Express cards up its sleeve.
• Wells Fargo: When it comes to the stagecoach, you'll find Visa, Mastercard, and American Express cards inside.

Understandably, some card users prefer to keep all of their accounts in one place, and thus favor one bank over another. Others want to use one issuer to pool their rewards and benefits. If that's the case for you, the answer to Mastercard vs. Visa will depend on your preferred card issuer.

Types of Visa cards

Part of comparing Visa vs. Mastercard is understanding the different types of credit cards each payment network offers. Visa cards generally come in five different types, easily identified by the branding that appears on the card.

• Visa Traditional: This is the "basic" Visa tier that you'll find most frequently on credit cards that offer lower credit limits and limited rewards programs.
• Visa Gold: This card has a high spending line, a revolving line of credit, emergency card replacement, and cash disbursement services when you are traveling.
• Visa Platinum: Visa Platinum holders have access to a 24/7 digital personal assistant and lifestyle guide. Cardholders have access to extraordinary experiences and exclusive privileges.
• Visa Signature®: Generally speaking, the Visa Signature® branding is typically found on higher-tier cash back and travel cards. Whether you receive a Visa Signature® often depends on the credit limit of the card. Some issuers, such as Chase, specifically mention in their terms and conditions that Visa Signature® cards are only issued when an applicant is approved for a credit line of $5,000 or more.
• Visa Infinite®: This branding is reserved for the highest-tier credit cards, often those that dole out high rewards, but typically carry lofty ($400 or more) annual fees. Cards that carry Visa Infinite® logos generally offer credit limits that start at $10,000 and up.

The primary difference between the branding is the benefits you receive when you use the card.

Importantly, the specific benefits depend more on the card issuer (the bank) than the Visa vs. Mastercard branding. There can be substantial differences between the extended warranty protection between two Visa Signature® cards issued by two different banks, for example. That said, as a very broad rule of thumb, a Visa Infinite® card will typically offer more perks than a Visa Signature®, which will offer more perks than a Visa Traditional card.

Types of Mastercard cards

Like Visa, Mastercard also has three tiers of cards that offer varying levels of perks and benefits, and different card branding depending on the type of card.

• Mastercard Standard: You'll typically find the standard Mastercard branding on credit cards that offer lower credit limits and little to no rewards for ordinary spending.
• World Mastercard®: These cards are the middle tier of Mastercard's lineup, boasting more benefits, many of which are focused on travel. Similar to the Visa Signature® tier, an applicant must get approved for a credit limit of $5,000 or more to get a World Mastercard®.
• World Elite Mastercard®: This is the most premium type of Mastercard, typically associated with high-end travel rewards credit cards. Data points suggest that World Elite Mastercard®s typically require a credit limit of around $10,000 or more.

The benefits you receive with a Mastercard vs. Visa vary based on the branding that appears on the card.

Related: See The Ascent's list of the best Mastercard credit cards.

Keep in mind that card benefits can also be set by the issuer, which may offer better perks than what comes standard on a particular type of Mastercard. But, as a rule of thumb, the higher the tier of the card, the more likely it is to offer special perks.

Visa vs. Mastercard: No clear winner

As much as we'd like to say that there is an obvious winner in a comparison of Visa vs. Mastercard, it isn't that clear. Aside from Costco stores, which only accept Visa cards, these cards have virtually identical acceptance in the United States and abroad. And because the benefits you get with the card have as much to do with the issuer as the network, it's not as simple as comparing Visa vs. Mastercard.

Instead, we'd encourage you to consider the features and perks offered by each individual credit card rather than comparing Visa vs. Mastercard. For instance, in cards that offer 0% intro APRs on purchases, you'll find that all of the payment networks (including Discover and American Express) score at least one spot in the category.

Shop based on the benefits you need most. Once you've narrowed your options down to cards that provide the features you need, you can filter by your preferred card issuer. Know that as a cardholder, your user experience won't be very influenced by whether your card is a Mastercard or a Visa.

Here are two of our favorite cards to consider, especially if you're just getting started comparing cards. You can also check out our Compare Credit Cards tool to find cards you like and see how they stack up against each other.

Still have questions?

Here are some other questions we've answered:

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• How Many Credit Cards Should I Have?
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