You may be surprised to know that all those numbers you see actually do stand for something, and it's not just who you are. Let's take a look.
Most of the major credit card companies operate on the same system when choosing a credit card number. Other cards like gas cards, department store cards and phone cards go their own way. Let's concentrate on the ones that all play by the same rules.
The very first digit in the series will be a 3,4,5, 0r 6. This number designates the type of card as follows:
3 = a Travel & Entertainment Card like American Express or Diners Club.
4 = Visa and Visa-branded debit cards, cash cards, etc.
5 = MasterCard and MasterCard-branded debit cards, cash cards, etc.
6 = Discover
American Express and Diners Club use the second digit to identify the company. That means that Diners Club cards will start with either "36" or "38", and American Express cards will use either "34" or "37".
The remaining numbers in the series are used for different purposes depending upon the card type and issuer.
In most cases, the next group after the opening series of numbers represents the routing number of the card-issuing bank, the group after that is the user's account number, and the final digit is a check digit. The check digit is a number that is calculated by applying a special formula to all of the other numbers. The check digit is the result of that formula and is used as an anti-fraud check.
To keep things from getting too confusing, look at your card as you follow along for the next steps.
American Express
The American Express Card uses digits three and four for type (business or personal) and the currency of the cardholder's country of origin. The next digits from the fifth through the eleventh are account numbers.
Digits twelve through fourteen indicate the card number within the account and the last digit is the check digit.
Visa
With Visa, digits two through six represent the bank number. Beginning with the seventh digit and running through the twelfth or the fifteenth represents the account number and the last number is the check digit.
Since all Visa cards do not have the same amount of numbers in the sequence, the number of digits in a group may vary.
MasterCard
For MasterCard, the second digit, through to anywhere between the third and the sixth digit is the bank number. All remaining digits, except the check digit at the end of the series, identifies that cardholder's account.
Now that we've gone over it all, you're probably wondering why you were ever wondering in the first place. Just remember though, knowledge is power. Some things are just fun to know.
We all know that there are more credit card companies out there than we can possibly count, it also seems any more that there are just as many different types of credit cards. Of course all companies claim that all of their cards offer the very best deal available. The truth of the matter is that every person has his or her own unique needs from a credit card so no card is perfect for everyone.
One of the newest cards available these days is the "low interest" credit card. It is highly likely that you have already received at least one offer for one of these cards if not several. These cards offer a much loser interest rate than most of your traditional cards, in some cases the interest rate may even be drastically lower. Most cards of this type will also offer a "balance transfer" option that allows you to transfer the balance from your existing high interest rate credit card to your new lower interest rate card. In most cases you will have a fixed period of time that the interest on this balance will either be 0% or at least very low. Of course after that introductory period the interest rate will rise to the normal rate for the card. This can still offer you some significant savings especially if you are able to pay off the balance during that time.
Credit cards are a highly profitable business, in fact they are so lucrative that many companies have started to offer their own cards to get a piece of the action. Airlines commonly offer credit cards that will allow you to earn free miles based on your spending and balance. If you travel frequently one of these cards could be very advantageous to you. Another common type of card you will see anymore are reward cards, these are cards that will reward you for using them. Based on the amount of spending you use the card for you will accumulate points that can be redeemed for everything from travel and hotel stays to appliances. There are some cards that simplify it and just refund a percentage of what you spend back to you. If you use a credit card frequently it might be in your best interest to use a card with a reward system.
Instant approval cards are another card that is gaining rapid popularity you may even receive offers for these cards by email as well as the more standard postal mail. Just as the name implies these cards offer you the chance to apply and get instant approval instead of waiting on a lengthy approval process. With traditional cards it can take two weeks or sometimes longer to be approved. Even with these cards instant approval does not always mean instant credit. There are still some companies that will provide you with a temporary number that you can start using immediately, many companies have done away with that practice due to high rates of credit card fraud.
With so many companies and cards available it will certainly be in your best interest to do some research before selecting the card you want. Keep in mind that you do not want to apply for a lot different cards as this can have a negative impact on your credit rating.
Both Ewen Chia & Steve Welker are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Ewen Chia has sinced written about articles on various topics from Credit Cards, Golf Guide and Credit Card Offers. Ewen Chia is the owner of Free-Credit-Card-Offer.comwhich provides free credit card information for everyone.Click here to learn more plus receive a free credit card instantly:. Ewen Chia's top article generates over 27100 views. to your Favourites.
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