Visa operates the world’s largest payment network by purchase transactions.
Visa connects consumers, merchants, financial institutions, and governments through its electronic payments network. It generally does not issue cards directly or lend money to cardholders; banks and other financial institutions issue Visa-branded cards, while Visa provides the network that authorizes, clears, and settles transactions.
The modern company grew out of Bank of America’s BankAmericard program, launched in 1958. BankAmericard was later expanded internationally and rebranded as Visa in 1976. Visa became a public company in 2008, when its initial public offering became one of the largest in U.S. history.
Visa is commonly confused with Mastercard because both operate global card-payment networks. They are distinct companies, and neither is the same kind of business as PayPal, which primarily provides digital payment services and a consumer wallet. Visa’s scale and recurring transaction fees have helped make it one of the world’s most valuable financial companies by market capitalization.