American Express

A US-based card network operating a closed-loop model, Amex both issues cards and acquires merchants directly, without intermediary issuing or acquiring banks. MDR is typically higher than Visa or Mastercard, but cardholder spend per transaction is also higher. European merchants can accept Amex via OptBlue (through their existing acquirer) or direct merchant agreements.

In practice.

American Express runs a closed-loop model: in most markets it is the issuer and the acquirer at once, so acceptance is agreed with Amex directly or through an aggregation program on your acquirer. For merchants this means separate pricing, separate settlement and a separate dispute process from Visa and Mastercard.

Related terms: Visa · Mastercard · Discover · JCB