EUROCARD (payment card)
Encyclopedia
Eurocard was a credit card
, introduced in 1964 by a Swedish banker in the Wallenberg family
as an alternative to American Express
.
, as a not-for-profit membership association of European bank
s. Its operational entity was established as European Payment System Services (EPSS). In 1968, Eurocard International and MasterCard International entered into a strategic alliance
, in which both issuer's cards would be accepted on either network. This allowed MasterCard to get an instant European acceptance network, and Eurocard to get accepted worldwide. Eurocard International got the sole license to issue MasterCard cards in Europe.
In 1992, Eurocard International N.V., Eurocheque
International C.V. and Eurocheque International Holding N.V. merged into a single company, Europay International
S.A., and were relocated to Waterloo, Belgium
. This location also housed the Europe, Middle-East and Africa region of MasterCard International, and the seat of the Eurocard-MasterCard joint-venture, Maestro International.
In 2002, Europay International and MasterCard International merged. The name Europay disappeared, and the new organisation was later renamed MasterCard Worldwide, with the headquarters in Waterloo
renamed MasterCard Europe.
In 2008 Eurocard was taken over by the Swedish Skandinaviska Enskilda Banken
.
Eurocard has always been the dominant brand in Central European countries, more specifically in Germany
, the Netherlands
and Austria
. It lagged behind Visa in Southern European countries, such as Spain
and France
.
as a product name. This means that the Eurocard name is still used on a card, although only the MasterCard logo is displayed at locations which accept MasterCard cards. The Eurocard logo is not used any more, as the acceptance mark
is discontinued and merged into MasterCard. However, the use of Eurocard as a brand for MasterCard credit cards is limited to Scandinavian countries and the Baltic countries. In other former Eurocard markets, such as the German speaking countries for instance, this brand was fully replaced by the MasterCard brand.
Credit card
A credit card is a small plastic card issued to users as a system of payment. It allows its holder to buy goods and services based on the holder's promise to pay for these goods and services...
, introduced in 1964 by a Swedish banker in the Wallenberg family
Wallenberg family
The Wallenberg family is a prominent Swedish banking family, renowned as bankers, industrialists, politicians, diplomats and philanthropists. The most famous of the Wallenbergs, Raoul Wallenberg, a diplomat, worked in Budapest, Hungary, during World War II to rescue Jews from the Holocaust...
as an alternative to American Express
American Express
American Express Company or AmEx, is an American multinational financial services corporation headquartered in Three World Financial Center, Manhattan, New York City, New York, United States. Founded in 1850, it is one of the 30 components of the Dow Jones Industrial Average. The company is best...
.
History
In 1965, Eurocard International N.V. was established, based in BrusselsBrussels
Brussels , officially the Brussels Region or Brussels-Capital Region , is the capital of Belgium and the de facto capital of the European Union...
, as a not-for-profit membership association of European bank
Bank
A bank is a financial institution that serves as a financial intermediary. The term "bank" may refer to one of several related types of entities:...
s. Its operational entity was established as European Payment System Services (EPSS). In 1968, Eurocard International and MasterCard International entered into a strategic alliance
Strategic alliance
A Strategic Alliance is a relationship between two or more parties to pursue a set of agreed upon goals or to meet a critical business need while remaining independent organizations...
, in which both issuer's cards would be accepted on either network. This allowed MasterCard to get an instant European acceptance network, and Eurocard to get accepted worldwide. Eurocard International got the sole license to issue MasterCard cards in Europe.
In 1992, Eurocard International N.V., Eurocheque
Eurocheque
The Eurocheque was a type of cheque used in Europe that was accepted across national borders and which could be written in a variety of currencies....
International C.V. and Eurocheque International Holding N.V. merged into a single company, Europay International
Europay International
Europay International was the name of the entity created by the merger of Eurocard International, and Eurocheque International. The merged entity was headquartered in Waterloo, Belgium, on the same premises as EPSS and MasterCard EMEA .Europay International was the owner of the...
S.A., and were relocated to Waterloo, Belgium
Waterloo, Belgium
Waterloo is a Walloon municipality located in the province of Walloon Brabant, Belgium. On December 31, 2009, Waterloo had a total population of 29,573. The total area is 21.03 km² which gives a population density of 1,407 inhabitants per km²...
. This location also housed the Europe, Middle-East and Africa region of MasterCard International, and the seat of the Eurocard-MasterCard joint-venture, Maestro International.
In 2002, Europay International and MasterCard International merged. The name Europay disappeared, and the new organisation was later renamed MasterCard Worldwide, with the headquarters in Waterloo
Waterloo, Belgium
Waterloo is a Walloon municipality located in the province of Walloon Brabant, Belgium. On December 31, 2009, Waterloo had a total population of 29,573. The total area is 21.03 km² which gives a population density of 1,407 inhabitants per km²...
renamed MasterCard Europe.
In 2008 Eurocard was taken over by the Swedish Skandinaviska Enskilda Banken
Skandinaviska Enskilda Banken
Skandinaviska Enskilda Banken AB is a Swedish financial group for corporate customers, institutions and private individuals with headquarters in Stockholm, Sweden. Its activities comprise mainly banking services, but SEB also carries out significant life insurance operations and also owns Eurocard...
.
Eurocard has always been the dominant brand in Central European countries, more specifically in Germany
Germany
Germany , officially the Federal Republic of Germany , is a federal parliamentary republic in Europe. The country consists of 16 states while the capital and largest city is Berlin. Germany covers an area of 357,021 km2 and has a largely temperate seasonal climate...
, the Netherlands
Netherlands
The Netherlands is a constituent country of the Kingdom of the Netherlands, located mainly in North-West Europe and with several islands in the Caribbean. Mainland Netherlands borders the North Sea to the north and west, Belgium to the south, and Germany to the east, and shares maritime borders...
and Austria
Austria
Austria , officially the Republic of Austria , is a landlocked country of roughly 8.4 million people in Central Europe. It is bordered by the Czech Republic and Germany to the north, Slovakia and Hungary to the east, Slovenia and Italy to the south, and Switzerland and Liechtenstein to the...
. It lagged behind Visa in Southern European countries, such as Spain
Spain
Spain , officially the Kingdom of Spain languages]] under the European Charter for Regional or Minority Languages. In each of these, Spain's official name is as follows:;;;;;;), is a country and member state of the European Union located in southwestern Europe on the Iberian Peninsula...
and France
France
The French Republic , The French Republic , The French Republic , (commonly known as France , is a unitary semi-presidential republic in Western Europe with several overseas territories and islands located on other continents and in the Indian, Pacific, and Atlantic oceans. Metropolitan France...
.
Acceptance Mark
Today, the Eurocard name exists in combination with the MasterCard acceptance markAcceptance mark
An acceptance mark, in the world of credit cards, is a logo or design that indicates that a merchant accepts one or more credit card types. Common uses include decals and signs at merchant locations or in merchant advertisements. The purpose of the mark is to provide the card holder with...
as a product name. This means that the Eurocard name is still used on a card, although only the MasterCard logo is displayed at locations which accept MasterCard cards. The Eurocard logo is not used any more, as the acceptance mark
Acceptance mark
An acceptance mark, in the world of credit cards, is a logo or design that indicates that a merchant accepts one or more credit card types. Common uses include decals and signs at merchant locations or in merchant advertisements. The purpose of the mark is to provide the card holder with...
is discontinued and merged into MasterCard. However, the use of Eurocard as a brand for MasterCard credit cards is limited to Scandinavian countries and the Baltic countries. In other former Eurocard markets, such as the German speaking countries for instance, this brand was fully replaced by the MasterCard brand.