Which is the relationship in US between Diners Club and Citibank?
Diners Club International, originally founded as Diners Club, is a charge card company formed in 1949 by Frank X. McNamara, Ralph Schneider, and Matty Simmons. When it first emerged, it became the first independent credit card company in the world. Diners Club International, the franchisor that holds rights to the Diners Club trademark, was acquired in 1981 by Citibank, a unit of Citigroup, as well as many of the largest franchises worldwide, although a majority of its franchises abroad remain independently owned. Sources: http://en.wikipedia.
The Diners Club and MasterCard have formed an alliance that will allow Diners Club Cards to be used at MasterCard merchants in the U.S. and Canada. As part of this alliance Diners Club Cards will carry the MasterCard Mark on the back of the Card with text explaining that they are welcome at MasterCard locations in the US and Canada. We expect to begin issuing those new Cards in August 2006. Sources: https://www.online.citibank.co.in/portal/cb/dinersclub/dinerslanding.
In April 2008, Discover Card and Citibank announced that Discover would purchase the Diners Club Network from Citi for $165 million. In May 2008, the U.S. approved the transaction. Discover stated that the Diners Club network, which is a major network outside North America will be merged with the Discover Network which is a major network in North America, creating an international network for Discover Cards and Diners Club cards. Diners Club cards will continue to be issued by Diners Club International licensees, including Citibank. Discover Bank has no plans to issue Diners Club branded cards. Discover purchased the network, but not the licensees issuing the cards. The deal was completed on July 1, 2008. Sources: http://en.wikipedia.
