Top Credit Card Companies: Largest Issuers Analysis 2024

Small businesses often have a love-hate relationship with credit cards.

The U.S. Government Accountability Office (GAO) estimates that, in 2022, 82% of Americans had one or more credit cards. Credit cards offer a convenient way for customers to pay without the risk of having to handle cash. These cards are not free to use, however, and either the business or the customer ends up picking up the transaction costs. Credit card company profits reached an all-time annual return on investment of 9.6% in 2021 according to the Consumer Protection Bureau, falling to 5.9% in 2022.

While businesses tend to interact directly with their payment processor, the processor is just one link in the credit card transaction process. The financial institutions that issue the cards provide the credit, while the credit card networks provide the infrastructure. Knowing who is responsible for each element of the credit card ecosystem can be important for creating a payment strategy or resolving disputes.

Key Highlights

• Visa is the largest credit card network with 368 million cards in circulation; it handled the largest purchase volume of any network at over $2.4 trillion, more than twice that of Mastercard.
• American Express cardholders are the biggest spenders at $16,548 per cardholder, over $10,000 more than the rate for Visa cardholders.
• Chase Bank is the biggest credit card issuer in the US when measured by cards issued, purchase volume, or number of transactions.
• 77% of American consumers had at least one credit card in 2021

Credit Card Networks VS Credit Card Issuers

The phrase “credit card companies” can mean different things contextually, with both credit card networks and credit card issuers referred to as credit card companies.

Credit card networks provide the infrastructure used to make credit card transactions. These networks set and charge interchange fees for using their networks, which in turn are passed along to merchants or customers.

Credit card issuers are banks or other financial institutions that provide the credit line customers draw upon. Credit card issuers make money from interest payments and fees. Credit cards carry branding from both the credit card issuer and the credit card network. For example, a Chase Bank-issued Visa credit card.

While credit card networks and credit card issuers are often different companies, American Express and Discover networks do issue their own cards.

Finding Your Issuer Or Network On Your Card

Your credit card issuer’s logo is typically displayed prominently on the upper half of your card.

In the case of white-label cards, those carrying branding distinct from the issuer (Amazon, Sam’s Club, etc.), you’ll need to look for fine print (typically on the back of the card) stating who the card is issued by. It’s also possible to identify your issuer through the first six to eight digits of your credit card number, which is called the issuer identification number (IIN).

Your credit card network should be even easier to locate. In the US, it will most likely be one of these four:

1. Visa
2. Mastercard
3. American Express
4. Discover

Network logos are usually displayed on the lower half of your credit card.

When You Might Need To Know Your Credit Card Issuer

Credit card issuers provide the money you draw on when you use your card. As such, they’ll be your point of contact for most issues about your account, including reporting fraud, questions about your reward program, reporting a lost card, disputing charges, or requesting a higher credit limit.

When You Might Need To Know Your Credit Network

Your credit card network will tell you at which locations your card is accepted, as determined by the business’s payment processor. Many retail businesses will display the credit card networks they accept on their door or near the point of sale. In the case of eCommerce, you’ll generally see your options displayed on the checkout screen. Credit card networks also provide some of the secondary benefits of your credit card like car rental insurance and warranty extensions.

The Largest Credit Card Networks

When it comes to the credit card networks themselves, there are four major players: Visa, Mastercard, American Express, and Discover. Credit card networks relay transaction information from point of sale to the card issuer.

1. Visa

The dominant player in the US credit card market is San Francisco-based Visa. According to a recent Nilson Report, over half of all domestic credit card transactions and purchase volume passed through its network, VisaNet, in 2021. Market dominance remains largely unchanged from 2021. The company reported $29.3 billion in revenue in 2022, up 22% from the previous year.

2. Mastercard

While often mentioned in the same breath as Visa, Mastercard's share of the market is considerably smaller, accounting for just under a quarter of domestic credit card purchase volume in 2021. While Mastercard's number of transactions was 57% lower than Visa's, its purchase volume was just 55% lower. The Purchase, New York-based company reported $22.2 billion in revenue in 2022, up 18% from 2021.

3. American Express

Manhattan-based American Express had just 17% less purchase volume than Mastercard in 2021, with 48% fewer transactions, reflecting the company's strategy of targeting affluent customers. However, AMEX merchant fees are higher than those charged by other card networks, and despite its overall smaller network footprint, American Express reported the highest 2022 revenue of the four networks, with $50.68 billion.

4. Discover

Discover Financial Services brought up the rear with 4% of the national purchase volume in 2021. In addition to the Discover and Diners Club cards, Discover operates the ETF Pulse network and offers banking and loan services. Despite its smaller transaction footprint, there are actually more active Discover-branded cards in the US than American Express cards. Discover Financial Services reported annual revenue of $13.3 billion in 2022, up 10% from 2021.

Credit Card Network Market Share

The Largest Credit Card Issuers

While credit card networks represent the core infrastructure of credit card transactions, credit card issuers provide the revolving line of credit that users tap. When a credit card purchase is made, the card issuer (sometimes called the issuing bank) will be queried to verify that funds are available. Card issuers also set reward programs, if applicable. Rates and rewards can vary greatly between cards offered by the same issuer. Nevertheless, knowing the big players and their areas of specialization can save you time when looking for the best credit card for your business.

The Federal Reserve Bank of Atlanta, in its Payment Card Adoption and Payment Choice report, found that 77% of American consumers have at least one credit card.

Credit card banks saw a return on assets of 6.93 (pre-tax) in 2021 according to the Federal Reserve's 2023 Profitability of Credit Card Operations of Depository Institutions report to Congress, declining to 4.71 in 2022.

JP Morgan Chase

Cards: 149.3 million (1st)

Purchase Transactions: 11.26 billion (1st)

Purchase Volume: $950.47 billion (1st)

Outstandings: $154.3 billion (1st)

Recommended Card For Small Business: Chase Ink Business Unlimited

Measured by assets, Manhattan-based JP Morgan Chase is the fifth-largest bank in the world, with $3.9 trillion in assets. No matter which metric you use to measure US credit card market share dominance, Chase sits at the top of the heap, with popular offerings like the Chase Ink line of business credit cards and Amazon Prime cards.

Capital One

Cards: 106.9 million (2nd)

Purchase Transactions: 5.19 billion (3rd)

Purchase Volume: $454.96 billion (4th)

Outstandings: $98.03 billion (4th)

Recommended Card For Small Business: Capital One Spark Cash Plus

Known for its prolific credit card marketing campaigns in the 1990s, credit cards still factor very heavily into Capital One's business strategy and comprise one of the Virginia-based bank's three main divisions. While Capital One issued the second-highest number of credit cards in 2021, Capital One cardholders are a bit more conservative with their swipes, making fewer purchases than American Express cardholders and spending less than Amex and Citi cardholders. Popular cards include Capital One's Venture and Spark lines, as well as the Walmart Rewards card.

Citi

Cards: 78.7 million (3rd)

Purchase Transactions: 4.73 billion (4th)

Purchase Volume: $482.60 billion (3rd)

Outstandings: $107.87 billion (3rd)

Recommended Card For Small Business: CitiBusiness/AAdvantage Platinum Select

Manhattan-based Citi, along with JP Morgan Chase, Bank of America, and Wells Fargo is considered one of the Big Four of American banks. Though there are fewer Citi cards in circulation, Citi cardholders put more on their tabs per holder than Capital One cardholders. Among Citi's popular offerings are American Airlines- and Costco-branded cards. Citi is also a third-party issuer of American Express cards.

Discover

Cards: 61 million (4th)

Purchase Transactions: 3.26 billion (6th)

Purchase Volume: $182.13 billion (6th)

Outstandings: $74.37 billion (6th)

Recommended Card For Small Business: Discover Cash Back

Unlike Visa and Mastercard, Discover issues its own cards on top of processing transactions on its network. As noted above, despite its higher number of cards in force, Discover card usage is more modest than that of American Express. In addition to cards with programs designed for gas and dining, Illinois-based Discover offers credit-building cards aimed at students.

Bank Of America

Cards: 55.4 million (5th)

Purchase Transactions: 4.55 billion (5th)

Purchase Volume: $413.97 billion (5th)

Outstandings: $92.57 billion (5th)

Recommended Card For Small Business: Bank of America Business Advantage Unlimited Cash Rewards

The third member of America's Big Four ranks 5th across all of 2021's metrics. While Charlotte-based Bank of America's rewards programs tend not to be as gimmicky or brand-oriented as many other large issuers, it does offer competitive programs through popular cards like its Unlimited Cash Rewards and Premium Rewards cards.

American Express

Cards: 50.4 million (6th)

Purchase Transactions: 5.79 billion (2nd)

Purchase Volume: $834 billion (2nd)

Outstandings: $115.2 billion (2nd)

Recommended Card For Small Business: Blue Business Plus Card from American Express

American Express directly issues most of the cards bearing its brand name. Traditionally, American Express offered charge cards rather than credit cards. Charge cards need to be paid off every month and have looser credit limits than credit cards. Nowadays, American Express's signature Platinum, Gold, and Green cards have provisions for carrying a balance, even if it isn't exactly encouraged. Despite ranking 6th in cards issued (not including American Express cards issued by third parties), American Express ranks 2nd in both transactions and purchase volume. In fact, at $16,548, the purchase volume per cardholder in 2021 was over $10,000 higher for American Express than for Chase.

Synchrony

Cards: 28.9 million (7th)

Purchase Transactions: 0.87 billion (9th)

Purchase Volume: $65.77 billion (9th)

Outstandings: $21.4 billion (11th)

Recommended Card For Small Business: Sam's Club Mastercard

Stamford-based Synchrony is known for its online-only banking services. Unlike many of its competitors, the Synchrony label often does not appear prominently on its cards, with retail-label branding (Venmo, Verizon, Walgreens, Lowe's, etc.) being the focus of its credit card operations.

US Bank

Cards: 22.4 million (8th)

Purchase Transactions: 1.5 billion (7th)

Purchase Volume: $165.71 billion (7th)

Outstandings: $40.9 billion (7th)

Recommended Card For Small Business: US Bank Business Altitude Connect World Elite

Minneapolis-based US Bank is among the largest financial institutions in America, with a large physical presence in the Western half of the US. Its Triple Cash Rewards World Elite Mastercard, which offers credits towards recurring software subscriptions, tends to rate highly as a small business credit card. In addition to Visa and Mastercard, US Bank is a third-party issuer of American Express cards.

Wells Fargo

Cards: 21.8 million (9th)

Purchase Transactions: 1.47 billion (8th)

Purchase Volume: $140.64 billion (8th)

Outstandings: $35.31 billion (8th)

Recommended Card For Small Business: Wells Fargo Active Cash

The last of the Big Four American banks has the 9th largest number of active cards and ranks 8th for purchase volume and number of transactions. Popular Wells Fargo credit cards include the Autograph and Reflect cards, the latter of which features a long, 21-month 0% interest introductory offer. Wells Fargo is also one of the few third-party issuers of American Express cards.

Credit One Bank

Cards: 21.8 million (10th)

Purchase Transactions: 0.39 billion (14th)

Purchase Volume: $15.68 billion (20th)

Outstandings: $8.25 billion (13th)

Recommended Card For Small Business: Credit One Platinum Visa For Rebuilding Credit

San Rafel-based Credit One Bank specializes in credit cards, particularly for customers with low credit scores. This is reflected in its high number of active cards and comparatively low number of transactions and purchase volumes. Despite their generally high APRs, many of these cards can be a cost-effective way to rebuild credit without having to offer collateral. Credit One Bank is a third-party issuer of American Express cards.

Notes

Data for tables is sourced from the 2023 Nilson Report and company disclosures from 2023.