A lot of people find the distinction between credit card networks and credit card companies confusing. In this section we answer the question, where do the boxes that say “Visa” or “MasterCard” fit in?

Visa, MasterCard, American Express, and Discover are the four major credit card networks. American Express and Discover aren’t just networks, though; they’re also credit card companies. If you have a problem with your Discover bill, you contact Discover directly. But if you have a problem with your Visa bill, you will contact your credit card company (for example, Capital One).

Visa, MasterCard, American Express, and Discover handle the worldwide processing of credit card transactions, and also set the transaction terms for credit card companies and the stores/restaurants where you use your card. In addition, they act as a gateway between merchants and credit card companies for authorizing and processing each transaction.

It’s important to make sure that the credit card network that’s associated with your credit card (MasterCard, for instance) is accepted at the place where you want to shop or charge a meal - especially if you’re on a first date!