Home » Attack on Visa and Mastercard

Attack on Visa and Mastercard

by admin
Attack on Visa and Mastercard

American Express is often mentioned in the same breath when it comes to the largest credit card payment networks in the world. But the comparison is flawed. Because unlike Visa and Mastercard, Amex itself is also a lender and insurance provider. This provides additional income through interest and contributions, but it inflates the balance sheet and increases the business risk, as defaults can always occur.

Also read: What the managers of the best technology funds are buying

American Express also earns well, but in terms of profitability it can “only” have a net profit of 15 percent and therefore cannot keep up with Visa and Mastercard. However, American Express is not a traditional bank with branches or ATMs; It also does not grant common consumer loans such as those for real estate, tuition fees or cars.
This is where Capital One and Discover Financial Services come into play. You notice: the complexity increases.

See also  Berlusconi's will: this is how much inheritance taxes are worth

You may also like

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More

Privacy & Cookies Policy