Capital One Set to Become Nation’s Largest Credit Card Issuer Following Acquisition of Discover Financial
*Tysons, Virginia – April 18, 2025 – * Capital One Financial Corporation, a prominent banking entity based in Tysons, Virginia, is poised to become the largest issuer of credit cards in the United States after receiving final regulatory approval to acquire Discover Financial Services. The deal, first announced in February 2024, comes with a notable price tag of $35 billion.
The acquisition received a green light from both the Federal Reserve and the Office of the Comptroller of the Currency, with key approvals granted just recently. The Justice Department had previously signed off on the deal in early April, concluding that there was insufficient evidence to substantiate antitrust concerns surrounding the merger.
With the merger anticipated to finalize on May 18, 2025, customers should not expect any immediate changes to their existing accounts, according to statements made by Capital One.
Richard Fairbank, the Founder, Chairman, and CEO of Capital One, expressed appreciation for the regulatory oversight of the merger, stating, “We understand the critical importance of a strong and competitive banking system to our customers and our economy, and we appreciate the thoughtful and diligent engagement of our regulators as they thoroughly reviewed this deal over the past 14 months.”
This merger will significantly reshape the landscape of credit card issuance in the U.S. Capital One will account for approximately one-third of the credit card market for subprime borrowers, further expanding its reach in the financial sector.
Founded in 1994 as a spin-off from Signet Financial Corporation, Capital One has seen tremendous growth, branching out into various lending products over the years, including auto loans. Today, the institution boasts $363 billion in deposits and $490 billion in total assets. It is recognized as the largest bank by deposits in the Washington D.C. metro area, controlling nearly 20% of the region’s retail and business banking market share.
Capital One’s catchy slogan, “What’s in Your Wallet,” has been a staple of its marketing strategy since its introduction in 2000, helping to solidify its brand presence in the competitive credit card industry.
Discover, originally launched in the 1980s as part of the Sears financial services arm, evolved over the decades to become an independent financial service entity in 2007 following several ownership transitions.
As this landmark merger approaches completion, financial experts will be observing the ramifications for both customers and the broader banking industry as Capital One embarks on this new chapter as the leading credit card issuer in the nation.
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