How Visa and Mastercard Make Money Might Surprise You

Thanks to their incredible profitability, powerful network effects, and growth potential, Visa (V 0.18%) and Mastercard (MA 0.39%) are two of the most outstanding businesses around. Their stocks have been huge winners in the past, both significantly outpacing the S&P 500 in the last 10 years.The companies might be on your investing radar, so it's important to understand how these two credit card giants make money. Here's a closer look at the businesses of Visa and Mastercard.Operating payment railsBesides t ...