More than a year after announcing its blockbuster acquisition of Discover Financial Services for over $35 billion, Capital One has finalized the deal, merging two major players in the credit card industry. The transaction, first unveiled in February 2024, secured regulatory approvals ahead of Sunday’s completion.
“This deal brings together two innovative, mission-driven companies that together are poised to deliver breakthrough products and experiences to consumers, businesses, and merchants,” said Richard D. Fairbank, founder and CEO of Capital One, in a press release. The company expanded its board to include three former Discover directors as part of the integration.
Consumer Impact
For now, Capital One assures customers that accounts with either institution remain unchanged. “Customers will be provided with comprehensive information in advance of any forthcoming changes,” the release stated. Discover’s credit cards, PULSE debit network, and Diners Club International will now fall under Capital One’s umbrella.
Experts suggest the merger could benefit Discover users. “Discover cardholders could also gain access to Capital One’s branches and ATMs,” said Emory University economist Kaiji Chen. Clint Henderson of The Points Guy added, “I don’t think it’s anything to fear from a consumer point of view,” predicting potential perks like enhanced sign-up bonuses.