We use debit and credit cards on a daily basis, they have become “plastic money” but we rarely notice the small differences. Visa, Diners, American Express, Mastercard, Maestro… They all have many things in common and some differences. But in particular, there are two of these credit cards that are particularly striking due to their similarity in name: Maestro and Mastercard, are they the same? In this article we will tell you everything about Mastarcard and Maestro.
What is MasterCard?
master card Incorporated or just Mastercard or, it is a global financial services corporation, very different from a bank and provides services to them. It was founded in 1966 originally as Interbank Card Association. In 1979 they change to “MasterCard”.
A few years ago, just in 2016, it changed its name from “MasterCard” to “master card” also making slight modifications to its original logo.
MasterCard Incorporated is an international company that provides payment processing and settlement services for banks and other financial institutions.
Its platform and global network serves as an intermediary between financial institutions and affiliated businesses, operating payments through financial instruments under the brands and means of payment known as: Cirrus, Mondex, Masterpass, Master and Mastercard.
What is Mastercard do?
You should know that master card it does not issue cards, nor does it grant loans, it does not perform typical bank functions and the banks are its main allies.
Instead, MasterCard Inc., licenses banks to have access to its payment processing platform and its brands in products such as credit cards, debit cards and prepaid for gifts or trips, under the standard categories, golden, platinum Y World Elite.
Your first competitor is Visa Inc. and to a lesser extent, American Express and Dinners also compete, all international payment operators.
master card has its main offices in Purchase NY. and a major hub in O’Fallon, Missouri, USES. It has a worldwide presence and generates more than 14,000 direct jobs.
It made its initial public offering in 2006 in the New York Stock Exchange and with more than 1 billion shares outstanding it generates a market capitalization of more than 200 billion dollars according to figures from Yahoo Finance.
Now that you know a little about master card the company, let’s talk about your Maestro and Mastercard card brands.
Are Maestro and Mastercard the same thing?
As we saw before, “Teacher” is the name given to one of the trademarks of MasterCard Inc.. In fact Mastercard and Maestro are registered trademarks of the same company. That said, we have unveiled the mystery that if Maestro is the same as Mastercard.
Maestro is used as a debit card Y master card, as a brand, is used to Credit cards.
master card is the brand that corporation mastercard inc reserve for your Credit cards.
Let us remember that one credit card is a form of “plastic money” through which the bank or issuing company of the credit card You have a contract with the owner (individual or company) to use a certain amount of money to pay for your purchases or expenses.
The amount of money holders can use the cards in quality of “revolving loan” will depend on the contractual terms between the issuing bank and the cardholder and their respective quota or availability of credit granted.
In simple words, the credit card It is the instrument through which a loan issued to the holder of the credit card is made tangible by the issuing bank, but nevertheless master card has no interference with it. Its role is limited to providing the necessary platform for payments to be settled.
The consumer can use the credit card to make purchases at points of sale or through the Internet. The Credit cards in general they charge high interest rates, maintenance fees or annual fees, as well as other charges for certain operations, such as cash advances.
The common use given to these cards is to finance minor purchases and are not use credit cards to buy cars, since they are investments or expenses of a high amount.
master card As operator of the payment network, it provides financial services to banks and their customers, in the traceability and settlement of payments. So the financial institutions who issue the credit cards with the Mastercard logoThey have the support of the network MasterCard Inc..
Maestro debit cards
Teacher is the debit card brand owned by master card Inc. Financial institutions that use this brand of debit cards are compatible with payment networks Master and Mastercard.
Customers can use the master debit card during purchases through the internet, points of sale of affiliated businesses or ATMs of the brands MasterCard, Maestro Y Cirrus.
With a debit card with the Maestro logo, the value of the purchase is charged directly against the balance of the consumer’s account at the issuing bank. In a transaction that is operated through the master card network.
A Debit it is also a form of “plastic money” like credit cards with different terms involved. The amount of money that will mark a limit here corresponds to the money that the debit card holder through your associated checking or savings account.
Therefore, the operations carried out with the Master cards they are not a loan, and the customer can use their money for purchases in stores or online.
For their part, the banks or companies that issue debit cards do not charge any interest on the money used by the client.
Master of Mastercard Inc. provides direct access to cash from the bank account, to be debited online, the point of sale (POS) or automated teller machines (ATM) and offers a PIN-based service (Personal Identification Number) through its international network.
Differences between Maestro and Mastercard
We conclude the delivery by summarizing the differences between Maestro and Mastercard cards.
- master card is a credit card, while Teacher is a Debit.
- Most financial card transactions master card are confirmed by signature of the holder, while the financial transactions of Teacher are confirmed with a PIN (4-digit code better known as Personal Identification Number).
- money processing by MasterCard is done both manually and electronically, while in the case of Teacher, the processing is done through electronic terminals.
- The credit cards master card charge interest rates and maintenance fees that result in a higher annual cost compared to Teacher that does not charge interest, but commissions for purchase transactions or cash withdrawal.
- master card allows payment in installments based on a quota or availability of credit; while Teacher is debited directly against the balance in the associated bank account.
- The maximum limit of payments through the master cards it depends on several terms that are mutually contracted between the issuer and the consumer. In TeacherHowever, the maximum payment limit is the amount present in the holder’s bank account.
- The master card can be used by default at an ATM, while the master cards will require a PIN for this type of operations and they charge high commissions.