Do you know which bank is issuing your new card?
15/09/2026
New payment cards are advertised to us all the time. They often come with hardly any sign-up requirements, little to no cost and, in some cases, a stylish look that can be tailored to your taste.
But the card is not always offered under the name of the authorised bank providing the service. Sometimes it may come with a different brand name printed on it. This is especially common when the provider is a payment institution or an electronic money institution, which are less familiar to most people.
Both types of institution are regulated in the European Union and offer services linked to how we use money, but they don’t do exactly the same thing and they don’t operate with the same constraints.
Payment institutions Abre en ventana nuevacarry out transactions such as credit transfers, direct debits and card payments. They can’t take deposits from the public or hold funds indefinitely, although they may need to hold money temporarily in order to carry out payment transactions.
Electronic money institutionsAbre en ventana nueva can provide the same services as payment institutions. They can also issue electronic money: monetary value stored in digital form that can be used to make payments and hold a balance. But, like payment institutions, they can’t take repayable deposits in the way a bank can.
It is important to know that both types of institution are supervised by the Banco de España in Spain, which monitors their operational soundness, their compliance with the rules and the protection they offer customers. At the same time, you should bear in mind that money held with them isn’t covered by the Deposit Guarantee Scheme. Instead, they must use safeguarding arrangements to protect users’ funds, such as placing the money in segregated accounts with banks or investing it in safe, liquid assets.
That is why it’s worth checking which bank is behind the brand name printed on the card. Knowing this will help you make an informed decision and choose the product that best suits your needs.
