Capital One completes acquisition of Discover, becoming largest US credit-card issuer

From Yahoo Finance: 2025-05-18 08:30:00

Capital One Financial Corp.’s acquisition of Discover Financial Services is now complete, making it the largest credit-card issuer in the US. With Discover’s payments network, Capital One aims to dominate credit and debit card spending. The deal faced opposition from some Congressional Democrats, but was approved under the current administration.

Approval of the acquisition came with conditions, including Capital One addressing Discover’s past enforcement actions related to overcharging merchants for payments. Capital One will expand its board of directors as part of the deal. Customer accounts and banking relationships for both companies will remain unchanged for now.

Capital One CEO Richard Fairbank expressed confidence in the acquisition, stating they are well-positioned to improve banking for millions of customers. The deal was approved by the Federal Reserve and the OCC after the DOJ declined to challenge it, signaling a new era of bank dealmaking under the current administration.

Read more: Capital One Finishes Discover Acquisition After 15-Month Journey