Sears introduced the Discover Card in the United States in 1985.
The card was developed as a new payment product for Sears customers and was notable for having no annual fee and offering cash rewards. Its launch came during a period when general-purpose payment cards were expanding beyond traditional bank-issued products.
Unlike Visa and Mastercard, Discover operated its own payment network in its early years. The card was initially issued by Greenwood Trust Company, a financial institution associated with Sears, rather than by a conventional nationwide bank.
A common mix-up is confusing the card’s issuer with its retail parent: Sears introduced and promoted Discover, while Greenwood Trust handled the banking side. Discover later became an independent financial-services company and expanded internationally and into online banking.