Profile: Visa Inc (V)
10 Mar 2014
Visa Inc. (Visa), incorporated on May 25, 2007, is a global payments technology company that connects consumers, businesses, banks and governments in more than 200 countries and territories to fast, secure and reliable electronic payments. The Company operates processing networks, VisaNet, offering fraud protection for consumers and assured payment for merchants. The Company operates an open-loop payments network, a multi-party system in which Visa connects issuing financial institutions, or issuers, that issue cards to cardholders, and acquiring financial institutions, or acquirers, that have the banking relationship with merchants-and manage the exchange of information and value between them. The Company derives revenues primarily from fees paid by its clients based on payments volume, transactions that it processes and other related services the Company provides. Its clients deliver Visa products and payment services to consumers and merchants based on product platforms it defines and manages.
The Company’s owns, manages and promotes a portfolio of well-known, widely-accepted payment brands, including Visa, Visa Electron, PLUS and Interlink, which it license to its clients for use in their payment programs. It offers a range of branded payments product platforms, which its clients, primarily financial institutions, use to develop and offer credit, debit, prepaid and cash access programs, as well as digital, mobile and eCommerce platforms for their customers. It provides transaction processing and value-added services to its clients through VisaNet, Visa Debit Processing Services, Visa Processing Services, CyberSource, PlaySpan and Fundamo, and the Company promote and enforce a common set of operating regulations adhered to by its clients to ensure the efficient and secure functioning of its payments network and the maintenance and promotion of its brands.
Transaction Processing Services
The Company own and operate VisaNet, which consists of multiple synchronized processing centers, including two data centers in the United States. In addition, Visa Europe, operates processing centers in the United Kingdom. VisaNet is built on a centralized architecture, enabling the Company to view and analyze each authorization transaction it process in real time and to provide value-added information, including information products, such as risk scoring and loyalty applications, while the transaction data is being routed through its system. The Company also owns and manages additional data centers in the United States and internationally, including those the Company added with its acquisitions of CyberSource and PlaySpan.
Core Processing Services
The Company’s core processing services involve the routing of payment information and related data to facilitate the authorization, clearing and settlement of transactions between Visa issuers and acquirers. The Company processes Visa transactions occurring in the United States. The Company also process Visa transactions where the issuer and the merchant are located in different countries, which the Company refer to as cross-border transactions. In countries outside the United States, processing of domestic Visa transactions varies. In some countries, such as Canada and Brazil, Visa processes the transactions. In many other countries, transactions may be processed outside of its systems, generally by government-controlled payments networks, its clients, independent companies or joint ventures owned in whole or in part by its clients. The Company perform clearing and settlement through VisaNet for transactions involving an issuer that is located in Visa Europe's region and an acquirer that is located in the rest of the world, or vice versa. Visa Europe authorizes clears and settles transactions for its members through its own processing system.
Other Value-Added Processing Services
The Company offers a range of other value-added services in certain countries, including risk management, issuer processing, loyalty, dispute management, value-added information and CyberSource-branded services. The Company provides clients in certain countries with a number of value-added risk-management services. These services, including Visa Advanced Authorization, provide preventive, monitoring, investigative and predictive tools, which are intended to mitigate and help eliminate fraud at the cardholder and merchant level. Visa Debit Processing Services (DPS), provides issuer processing services for participating United States issuers of Visa debit, prepaid and ATM payment products. The Company offer loyalty services, which allow its clients to differentiate their Visa program offerings, enhance the attractiveness of their Visa payment programs and strengthen their relationships with cardholders and merchants.
The Company manages Visa Resolve Online, an automated Web-based service that allows its clients' back-office analysts and client service representatives to manage and resolve Visa transaction disputes more efficiently than with paper-based processes. The Company provides its clients with a range of additional information-based business analytics and applications, as well as the transaction data and associated infrastructure required to support them. The Company provides technology and services that make it easier for eCommerce merchants to accept process and reconcile payments, manage fraud, and safeguard payment security online. CyberSource brings these payment management solutions to market on two platforms: CyberSource Enterprise services and Authorize.Net.
The Company offers a range of product platforms that enable its clients to build differentiated, payment programs for their consumer, business, government and merchant clients. The Company’s principal payment platforms enable credit, debit, prepaid and cash access programs, as well as virtual, mobile and eCommerce payments for consumers, businesses and government entities. Its payment platforms are offered under its Visa, Visa Electron, Interlink and PLUS brands. The Company's consumer credit product platforms allow its issuers to offer deferred payment and financing products that can be customized to meet the needs of all consumer segments. Its baseline consumer credit platform is marketed to its issuers as Visa Classic or Visa Traditional.
Its deposit access product platforms enable its issuers to offer consumer payment and cash access products that draw on consumers' deposit accounts, such as checking, demand deposit or other pre-funded accounts. The Company’s primary consumer debit platform in the United States and many other countries uses the Visa brand mark. Depending on local marketplace point of sale practices, Visa Debit transactions can be authenticated by a cardholder's signature, or no signature if the transaction is for a small purchase amount, or by personal identification number, or PIN, or other means of authentication. Its prepaid product platform enables issuers to offer products that access a pre-funded amount, allowing cardholders to enjoy the convenience and security of a payment card in lieu of cash or checks. Its prepaid platform includes general purpose reloadable, gift, travel, youth, payroll, money transfer, corporate incentive, insurance reimbursement and government benefits cards. Its clients can provide global cash access to their cardholders by issuing products accepted at Visa and PLUS branded automated teller machine (ATMs).
The Company's commercial product platforms enable small businesses, medium and large companies, and government organizations to streamline payment processes, manage total spend, access information reporting, automate their supply chain and reduce administrative costs. The Company provides tools and resources to small business owners to help them securely manage payments and receivables through its debit, credit and acceptance solutions. Visa Business Electron is an electronic authorization platform used in many countries outside North America.
The Visa Corporate platform offers payment options for business-to-business and employee travel and entertainment charges, including cash advances, providing detailed transaction data, as well as information and expense management tools. The Visa Purchasing platform provides card and non-card electronic payment products that allow companies to easily procure goods and services, while streamlining resource-and paper-intensive purchase order and invoice processing.
The company competes MasterCard, American Express, and Diners Club
P.O. Box 8999
SAN FRANCISCO CA 94128-8999
Company Web Links
- MasterCard, Visa form group to push for better card security
- UPDATE 3-MasterCard, Visa form group to push for better card security
- Mastercard, Visa form cross-industry group for payment security
- Mastercard, Visa form cross-industry group for payment security
- UPDATE 1-Visa Europe to cap transaction fees after EU probe