Protection Against Fraudulent Payments
When it comes to personal finance, security is crucial. Both Visa and Mastercard offer similar security features on their debit cards, which are typically backed up by further security provided by the bank issuing the card.
In terms of fraud, both Visa and Mastercard have a Zero Liability policy.
According to Visas site:
With Visas Zero Liability policy, you wont be held responsible for fraudulent charges or unauthorised purchases made with your card or account information. This means you can use your card to shop with total confidence, as you will always be protected against unauthorised use.
Its worth noting that Visas Zero Liability policy does not apply to ATM transactions.
Meanwhile, Mastercard states:
Have peace of mind knowing that the financial institution that issued your Mastercard wont hold you responsible for unauthorised transactions. As a Mastercard cardholder, Zero Liability applies to your purchases made in the store, over the telephone, online, or via a mobile device and ATM transactions.
In order to take advantage of either Zero Liability policy, cardholders must have used reasonable care in protecting their card from loss or theft, and must also notify their card issuer promptly of unauthorised use.
Some Similarities Between Visa And Mastercard
1. Worldwide Acceptance
This is the most common similarity between MasterCard and Visa. Millions of merchants in more than 200 countries can accept both credit card networks. You can always use both Visa and MasterCard for making any transactions anywhere you want. This is a big advantage that is offered by both networks. Both payment networks have a wider merchant acceptance than the other networks, such as JCB or American Express.
2. Contactless Payment
When we are talking about the latest contactless payment technology, we can depend on the technology from both Visa and MasterCard. Both payment networks use contactless payment technology, so the payment can be done by tapping the card on the compatible point-of-sale terminal. The card is tapped, instead of inserted or swiped on the device. This feature is available for all customers who want to pay safely and conveniently.
3. Online Shopping Protection
Both Visa and MasterCard want to protect all cardholders from any fraudulent transactions. Both of them have the latest online shopping security feature. Visa has a reliable verification process that can be done for any unauthorized transactions by using a Visa card. Any transactions require a password or code that will be sent via text message to the user. This code can be used to verify the online transaction.
Visa Or Mastercard: Which Is Better
Should you be using Visa or MasterCard exclusively? Or;do you need both Visa and Mastercard?
The two leading credit card companies in the world today are the competitors Visa and MasterCard. They both operate along very similar lines.
While Visa can claim to have almost a billion cards issued, MasterCard has over twenty five thousand banks issuing its cards and it is difficult to find any difference in the number of locations worldwide that accept the cards, which is now estimated at over twenty million.
In fact, as far as most consumers are concerned, there is no real difference between the two. They are both very widely accepted in over one hundred and fifty countries and it is very rare to find a location that will accept one but not the other.
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Visa Vs Mastercard Benefits
There are three levels of Visa credit card benefits: Traditional, Signature and Infinite. Mastercard has three tiers of benefits, too. Some cards offer one level of benefits to all users. Others give better perks to people approved for a certain credit limit $5,000+, for example.
Many Visa and Mastercard benefits are offered at the discretion of individual credit card issuers. In other words, Visa and Mastercard make benefits available to card issuers and allow them to decide which to pass on to different groups of cardholders. To learn how individual cards rank for some of the most important perks, check out WalletHubs credit card benefits reports:
Visa Vs Mastercard: What They Are And How They Differ
Visa and Mastercard are two major credit card networks in the United States. These networks help facilitate transactions between merchants and card issuers like banks and credit unions. Every time you use a credit card or debit card to make a purchase, your credit card network helps to process the transaction.
Visa and Mastercard share many similarities: neither company issues cards directly but instead partners with a variety of different card issuers. Additionally, both credit card networks offer added perks related to travel, purchase protection and fraud protection, and both are widely accepted throughout the United States and around the globe.
The main differences between Visa and Mastercard credit cards are relatively small and have to do with which specific banks and lenders they partner with, as well as the specific perks and benefits they offer. The two networks also have different credit card tiers that come with different benefits. Visa has three main tiersVisa Traditional, Visa Signature and Visa Infiniteand Mastercard has fourStandard & Gold Mastercard, Titanium & Platinum Mastercard, World Mastercard and World Elite Mastercard.
Ultimately, a card from either Visa or Mastercard is a good choice, as long as the terms and benefits set by the card issuer are favorable. You should look for a card with low rates and fees, rewards and plenty of benefits.
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Are There Any Benefits To Using A Visa Card
Visa competes with Mastercard and other card networks for branding partnerships with card issuers. It differentiates itself by offering cardholders various benefits, grouped into three categories: traditional, signature, and infinite.
Depending on the type of Visa card you own and the benefits tier it belongs to, you could have access to the following:
- Emergency card replacement
- Extended warranties
- Travel and emergency assistance
Though Visa offers a wide range of benefits, card issuers have complete discretion in deciding which ones to contribute to their accountholders.
Best For Premium Travel: Citi Prestige
- 5X ThankYou points on Air travel and Restaurants
- 3X ThankYou points on Hotels and Cruise Lines
- No limit to the amount of points you can earn
- Rewards never expire
- Complimentary 4th night free on eligible hotel stays, capped at twice per year
- Complimentary Priority Pass Select membership
- Global Entry or TSA Pre Application Fee Credit
- No foreign transaction fees
You are ineligible for this introductory bonus if youve either closed or received an introductory bonus from any of the following cards in the past 24 months:
A balance transfer is a way to move debt from one card to another with the goal of saving money on interest.
- Intro Balance Transfer APRN/A
- Regular Balance Transfer APR16.99%23.99% Variable
- Balance Transfer Fee3%, $5 minimum
- Penalty APRUp to 29.99% Variable
- Late FeeUp to $40
- Returned Payment FeeUp to $40
- Additional Cards Annual Fee$75
- Foreign Transaction FeeNone
Citi is a Credit Card Insider advertiser.
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One Fact Might Make It Easy To Choose Between These Two Great Businesses
The two largest payment networks may seem interchangeable. Visa and Mastercard are both respected, high-performing companies, with stocks that have crushed the market over the years. Mastercard has delivered a 7,760% return for its shareholders since going public in 2006, while Visa is up 1,480% in the 13 years it has been publicly traded.
Globally, there’s still an estimated $18 trillion in consumer spending done in cash. That means there’s plenty of growth available in digital transactions. However, choosing between two companies that are so similar can be difficult. Beyond historical stock returns, there are a few differences to help investors choose.
Best Visa Credit Card With Hotel Rewards
Our current best Visa credit card features hotel rewards the .
Youll earn plenty of Wyndham Rewards at these rates:
- 5 points per $1 spent at Wyndham properties,
- 2 points per $1 spent on dining and groceries, and
- 1 point per $1 spent on all other purchases.
We value a Wyndham Rewards point at 1.2 cents each, for a return of up to 2.4% on your everyday purchases, and 6% at Wyndham hotels.
Plus, youll get 7,500 bonus points every year after spending $15,000 in eligible purchases, and get Wyndham Rewards Gold status.
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Hotel & Airline Partners
If you want a card specific to the hotel or airline you frequently use, you might be restricted to certain networks. For example, American Express is the only network that offers Delta and Hilton cards. United and Southwest cards are only offered on Visa. And if you want an IHG or Hawaiian Airlines card, this will be with Mastercard.
Citi Premier: Best For Bonus Categories For Travel Rewards
To frequently earn travel rewards on everyday expenses, consider the Citi Premier, a travel card on the Mastercard network. This card offers broad earning potential, including;3X points at restaurants, supermarkets, and gas stations, and on air travel and hotels; and 1X points on all other purchases
You also receive $100 in annual hotel savings and you have no foreign transaction fees. In addition, your ThankYou Points can be transferred to multiple travel partners, including JetBlue, Virgin Atlantic, and Singapore Airlines.
To learn more about this card, read our Citi Premier Card review.
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Final Thoughts On Visa Vs Mastercard Stock
Payments stocks offer massive growth potential in the coming years, and we see blue chips Mastercard and Visa as well-positioned to take advantage. Both companies have tremendously expensive infrastructure already in place, which gives them a big advantage over those that would try to supplant their long-held dominant competitive positions. Both stocks are quite overvalued according to our model, but high rates of forecasted growth for both should overcome that over time. In the battle of Visa vs Mastercard stock, total expected returns are modest in both cases, but Mastercard has a slight advantage over Visa on that front.
Thanks for reading Better Credit Card Stock: Visa vs Mastercard!
Disclosure: Members of the Sure Dividend team are long V and MA.
This article was written by Josh Arnold of the Sure Dividend team.
You can also read 3 Dividend Aristocrat REITs by the Sure Dividend team
Here are my recommendations:
If you are unsure on how to invest in dividend stocks or are just getting started with dividend investing. Take a look at my;Review of the Simply Investing Report. I also provide a Review of the Simply Investing Course.;Note that I am an affiliate of Simply Investing.
If you are interested in an excellent resource for DIY dividend growth investors. I suggest reading my;Review of The Sure Dividend Newsletter.;Note that I am an affiliate of Sure Dividend.
Visa Or Mastercard: If They Are Much The Same How Do You Choose The Right Credit Card
The Australian credit card market is a somewhat complex one, with hundreds of different types of packages on offer from financial institutions, each with its own set of benefits and conditions. When it comes to choosing the right credit card for your needs, you could start by assessing:
- What you will use it for: Is it for a one-off purchase? Or will you be buying items regularly on it? Different cards suit different uses .
- Your capacity to repay any debt that accumulates: Paying for items in credit on the card actually means you are borrowing money from a financial institution going into debt. The bank will attach a set of conditions when it comes to repaying that debt, such as charging interest and expecting payments to be made by a specific deadline if you want to avoid additional costs. Interest rates on credit cards are typically much higher than for other types of debt products, such as personal loans or home loans. It could be worth comparing other types of borrowing against the long-term costs of having a credit card.
- If you would use the credit cards extra benefits: Take a look at the card packages rewards programs and any other benefits it may offer, such as insurance for items purchased.
- What credit cards, packages and deals your bank of choice is offering and how those packages compare to the rest of the market.
Its also a good idea to research the different types of cards that are available, and what features they offer.
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What Are Frequent Flyer Credit Cards
These types of cards are attached to a specific rewards program an airlines frequent flyer program that earns the user points to spend on flights and sometimes other goods and services, too, depending on the scheme. Australian programs include the Qantas Frequent Flyer and Virgin Velocity schemes.
Please note: Providers may have altered their frequent flyer programs in the wake of the COVID-19 pandemic, due to travel restrictions, economic conditions and other factors. It could be a wise idea to check with the credit card provider and the frequent flyer program operators, as well as to read their terms and conditions.
How Are Visa And Mastercard Different
The differences between Visa and Mastercard lie in their card benefits. Mastercard has a unique cell phone protection benefit, which isnt listed as a Visa benefit. Likewise, Visa benefits include purchase protection and extended warranty coverage, which Mastercard doesnt list in its benefits.
However, each of these benefits can still be found on either a Visa card or Mastercard credit card because the issuing bank, such as Wells Fargo or Bank of America, is the one that decides on the available benefits of their cards. Similarly, the issuing bank will also generally decide on factors like the total credit limit you’ll receive as well as the credit score requirements for each card.
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How Visa And Mastercard Are Similar
To start, theyre accepted almost everywhere. While American Express and Discover have historically had smaller networks internationally, Visa is accepted by 46 million merchants worldwide and Mastercard boasts comparable numbers.
Additionally, both cards make their money in the same manner. While the credit card issuer is allowed to charge you fees for things like late payments, Mastercard and Visa both make their money by charging merchants and businesses anotherfee for taking their card as a method of payment.
Is Visa Better Than Mastercard
Visa and Mastercard are similar enough that it typically shouldnt matter which brand you see on your credit card. They do have a few differences, but neither Visa nor Mastercard is generally better than the other. Theyre both accepted worldwide and offer similar benefits.
If you compare the different card tiers and benefits for each company, it seems like Visa has the advantage over Mastercard. Visa publicly lists more card benefits on its website than Mastercard, but that doesnt necessarily mean a Mastercard credit card will have fewer benefits than a similar Visa card.
For example, the list of Mastercard benefits doesnt include purchase protection, extended warranty coverage, or an auto rental collision damage waiver. However, the Chase Freedom Flex, which is a Mastercard credit card, has all three benefits. So the benefits you receive often depend on both the card network and card issuer.
Overall, Visa is the more popular card network and does more global business than Mastercard. It also offers more of a guarantee that youll receive certain benefits than Mastercard, though its ultimately up to the card issuer. Keep in mind that certain Mastercard , which is an increasingly rare benefit and one not listed for Visa.
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What Are Low Fee Credit Cards
Typically, credit cards have ongoing annual fees, which the bank charges to cover the cost of providing the card and any associated benefits, such as rewards programs. Low fee credit cards typically have lower ongoing fees than other types of cards, but there is often a trade-off that occurs for that to happen. Some card packages may have low fees but offer few extra benefits, while others may have some benefits but charge higher interest rates on overdue balances to pay for them.
Citi Diamond Preferred Card
- 0% Intro APR for 18 months on purchases from date of account opening and 0% Intro APR for 18 months on balance transfers from date of first transfer. After that the variable APR will be 13.74% – 23.74%, based on your creditworthiness. Balance transfers must be completed within 4 months of account opening.
- There is a balance transfer fee of either $5 or 3% of the amount of each transfer, whichever is greater
- Get free access to your FICO® Score online.
- With Citi Entertainment®, get special access to purchase tickets to thousands of events, including concerts, sporting events, dining experiences and more.
- Shop with confidence knowing that you have dependable protection benefits, including $0 Liability on Unauthorized Purchases and Citi® Identity Theft Solutions.
- The standard variable APR for Citi Flex Plan is 13.74% – 23.74%, based on your creditworthiness. Citi Flex Plan offers are made available at Citi’s discretion.
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