Visa introduced its modern payment-network name after the BankAmericard program was renamed Visa.
Bank of America launched BankAmericard in 1958 in Fresno, California. The program spread through licensing to banks in the United States and other countries. In 1976, the international BankAmericard organization adopted the name Visa, creating a globally recognizable brand without tying the network to one national bank.
Visa does not generally issue cards or lend directly to cardholders. Instead, it operates a payment network connecting consumers, merchants, banks and payment processors. Issuing banks set card terms, approve accounts and often provide customer service, while Visa handles authorization, clearing and settlement infrastructure.
This business model distinguishes Visa from American Express, which has historically combined network and card-issuing roles more extensively. Mastercard also operates a four-party network model, so the two brands are competitors rather than one being a subsidiary of the other.