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What is MasterCard?

By: david

In 1947, US-based banks gave a premium service to their customers. It was a piece of paper which customers can present to various stores. It was sort of a guarantee, the paper telling the store owners that the bank shall pay the purchases of the customer, and all the store owner has to do was to send the bill to the bank.

It was a service which gained attention and appreciation from customers. It gave bank clients the convenience that they've always wanted since they can always purchase something even if they don't have the money that particular moment. In the long term the service proved to be valuable to banks since their customers remained loyal to them.


With many customers signing up for this type of service, banks cashed in on this service. In 1951, the first credit card was offered as a formal type of financial instrument by the Franklin National Bank which was based in New York.

In the 50's the service was franchised. The idea was to have a single bank in one city allowing its partner merchants to accept cards in lieu of cash. A few years later the Interbank Card Association or ICA would come up to oversee the operations of what was then a growing industry.


ICA was composed of banks that elected from among themselves governing members as well as committees that set the rules for the function of the group. The group then implemented the said rules. ICA was basically run like a legit corporation.

Since ICA was growing by leaps and bounds the next practical thing to do was to expand globally. It signed agreements with various partners in Europe, Mexico, and Japan in 1968. Ten years later the ICA had basically covered every continent in the world. It also adapted a new name, MasterCard. Years later it also covered traditionally Communist states like the Soviet Union and China.

Today, MasterCard is a global name. It boasts of an impressive 25,000 shareholders. Among them are respected names in the global financial markets like JPMorgan Chase, Bank of America, and Citigroup.

Millions of people around the world are using MasterCard. More merchants accept it than any credit card. And wherever you go, you can get the cash you need as long as you have a MasterCard. There are 780,000 ATMs around the world which you can go to if you need cash.

It is also available in various types like Gold and Platinum premium cards both of which offer attractive value added features. There's a Road Assistance which provides help to its members in case of emergency, and a PayPass which allows cardholders ease and convenience in paying for selected products and services. Those who misused or had their card stolen would not be held liable in such cases.

There's no doubt how MasterCard has changed the face of business, with its introduction of the concept of cashless transactions. You should get your own MasterCard now to experience its many benefits.

Today, you can easily get a MasterCard from merchant account providers - whether they offer wireless merchant accounts or small business merchant accounts or any of the other types. By researching and asking around, you would most likely be able to find the best merchant account provider to help you out with your needs.

About the author

ChargeOnPhone ( www.chargeonphone.com/about.html ) is a merchant account provider for small businesses ( www.chargeonphone.com/wireless.html ) that need to accept credit cards in an easy, mobile and affordable way and who find the idea of purchasing a credit card terminal cost prohibitive and cumbersome.

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