Visa operates a global payments network but generally does not issue cards or lend directly to cardholders.
Visa’s network connects cardholders, merchants, acquiring banks, and issuing financial institutions. Banks and other issuers typically provide Visa-branded cards, set credit terms, and manage customer relationships. Merchants accept transactions through acquiring institutions, while Visa supplies the network and authorization infrastructure.
The company grew from Bank of America’s BankAmericard program, launched in 1958. BankAmericard became Visa in 1976, and Visa later became an independent public company. Its revenue is largely tied to payment volume, processed transactions, and related services rather than interest charged to cardholders.
This business model distinguishes Visa from American Express, which has traditionally combined network, card-issuing, and lending roles more directly. Mastercard has a broadly similar network-based structure. Visa’s market value reflects the scale and recurring activity of electronic payments worldwide.