Credit Card CEOs Don’t Have to Worry About Personal Debt

Credit Card CEOs Don’t Have to Worry About Personal Debt

April 30, 2013         Written By Natalie Rutledge

Being the CEO of a credit card issuer or processor pays well. Very well.

MasterCard CEO Ajay Banga’s pay package last year totaled $11.3 million, an increase of 35 percent over his 2011 compensation of $8.3 million, according to the Associated Press. Most of this increase came in the form of stock awards, including stock options, valued at $7.5 million. These options were 52 percent higher than his 2011 package. His salary “only” increased 9 percent to $983,333. Banga also received a performance-based cash bonus of $2.5 million and perks totaling $348,000.

This increase came after a good year when the credit card company earned $2.8 billion, up 45 percent from a year earlier.

Capital One paid Chief Executive Officer Richard Fairbank approximately $17.5 million in compensation for 2012. The payment package included $10.9 million in stock, $4.38 million in options, and $2.19 million in a cash bonus. Securities regulators calculate pay differently and report that Fairbank earned $22.6 million: $16 million in stock awards, $4.4 million in option awards and $2.2 million in the form of a deferred cash bonus. The $22.6 million package would be a 21 percent increase over his 2011 package of $18.7 million.

Visa’s new Chief Executive Officer, Charles Scharf, will receive $950,000 per year in salary as well as $19 million in restricted stock and stock options. Joseph Saunders, the former CEO of Visa, received a $9.7 million pay package for the 2012 fiscal year when he retired in November 2012. He received $11.8 million in compensation for fiscal year 2011.



The information contained within this article was accurate as of April 30, 2013. For up-to-date
information on any of the terms, cards or offers mentioned above, visit the issuer's website.


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About Natalie Rutledge

Natalie Rutledge majored in Communications at Mississippi State University. She was in sales for a number of businesses and spent nine years working as a communications advisor to various entities. Natalie can be contacted directly at natalie@lowcards.com
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