Commodity-money relations function through the use of electronic payment systems, and their most popular representatives in Russia are Visa and MasterCard. They are designed to replace cash payments with non-cash and increase the security level of the owner of funds. What is the difference between these systems and which option is better to choose for your needs?
Definitions
Visa - American payment system, which is represented in 200 countries of the world and ensures the implementation of non-cash payments between the subjects of commodity-money relations. The company was founded in 1970 and is a pioneer in the market for payments made with bank cards. The highest level of trust in the firm is in North America, and the lowest in Asia.
MasterCard is an international payment system represented in 210 countries of the world and located in the United States. With its help, you can make non-cash transactions with your bank account, pay for purchases on the Internet, transfer funds. Geographically, the company has divided its areas of activity into 5 regions, providing users with a safe work almost anywhere in the world.
Thus, Visa and MasterCard are global payment systems that provide banks with a transaction standard that can be pegged to a currency.
Comparison
Visa's market coverage is somewhat wider than its competitor, but in recent years the gap has been rapidly decreasing. In addition, this company had a significant impact on the development of the industry, laying the foundation for the development of cashless payments. The MasterCard company is represented in 210 countries of the world, while Visa - in 200 states.
Otherwise, the differences between payment systems are purely technical in nature. Thus, a Visa card is used in Russia to create accounts in dollars and rubles, a MasterCard card - in euros or Russian rubles. Nevertheless, after opening, you can link an account in the required currency to a specific card. When making electronic transactions, the CVV2 code is indicated for Visa, and CVC2 for MasterCard.
Conversion of funds in the account currency will also differ depending on the payment system, which is associated with the specifics of the market. It is believed that Visa is more reliable than MasterCard and gives more guarantees on the account, however, at the lay level, the difference is practically not noticeable. The Visa is linked to the dollar, the MasterCard - to the euro, but this circumstance is conditional, since, if necessary, accounts can be linked to any currency.
Conclusions TheDifference.ru
- Market coverage. Visa owns about 28% of the world's payment cards, while MasterCard owns only 20%.
- Territorial representation. Visa is used in 200 countries of the world, and MasterCard - in 210 countries.
- Impact on market development. Visa is the pioneer of cashless payments, creating the world's first ATM network, prepaid cards and more. MasterCard in this race can be considered a "catch-up" player that has developed in the footsteps of a more experienced competitor.
- P2P payments (person to person). Visa makes it possible to make P2P payments, unlike MasterCard.
- Code for electronic transactions. When making purchases in the global network, the CVV2 code is used for Visa, and CVC2 for MasterCard.
- Served currencies in Russia. A Visa card is opened for dollar and ruble accounts, a MasterCard card - for accounts in euros or rubles.
- Currency conversion. If an online purchase is made with a Visa or MasterCard in a currency other than the main account, the conversion rates will differ.
