By John Q. Hosedrinker 
The National Payment Card System (NSPK) is recommending that Russian banks remove all remaining Visa and Mastercard cards from circulation. This is due to the expiration of security certificates embedded in the cards’ chips on January 1, 2025, rendering them unusable. The NSPK, established by the Central Bank, will work with credit institutions to determine a timeline for this withdrawal following Visa and Mastercard’s exit from Russia in 2022. This decision aligns with the Central Bank’s plans to restrict the validity of expired cards to combat fraud, a measure that was first announced in July 2025.
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Russia Cut Off: Visa, Mastercard Cards Go Dead in Russia After January 1, the story is a bit more nuanced than the headlines might suggest, and it’s been unfolding for quite some time. It’s easy to think that Visa and Mastercard are finally pulling the plug, but the situation is actually much more complex than a simple shutdown on January 1st.
The initial severing of ties between Visa/Mastercard and Russia happened way back in March 2022. That’s when these payment networks suspended their services in response to the invasion of Ukraine. This included ending licenses and blocking the ability of Russian banks to process international transactions through their networks. Essentially, if you had a Visa or Mastercard issued in Russia, you wouldn’t be able to use it outside of the country.
However, here’s where it gets interesting. Inside Russia, the story continued differently. Russian banks, in a smart move, didn’t want to force a mass card replacement on their customers. So, they implemented a workaround. They used the existing physical Visa and Mastercard cards, but they replaced the backend processing with their own domestic payment system, known as the National Payment Card System (NSPK), and kept the Visa/Mastercard logo on the front. Think of it as a kind of cosmetic rebranding, allowing Russians to keep using their familiar cards within the country, but the actual transactions were going through a homegrown system. In effect, these cards functioned as MIR cards domestically, while being useless for international transactions.
Why January 1st then? This date marks the expiration of security certificates on the cards’ chips. These certificates are crucial for verifying the authenticity of the card and enabling secure transactions. Without these certificates, the cards become vulnerable to fraud. And of course, with the existing sanctions in place, renewal of these certificates wasn’t possible. Therefore, the cards’ functionality, even domestically, starts to fade.
The question of whether Russians actually relied on these services is worth considering. While the initial cut off from Visa/Mastercard created challenges, the NSPK system filled the gap, allowing for continued domestic transactions. Many Russians likely adapted to using this system or found alternative payment methods, particularly for international transactions.
The broader economic implications are worth thinking about, too. The loss of access to international payment networks adds another layer of pressure on the Russian economy. This situation potentially opens the door for alternative payment systems to emerge, possibly those linked to groups like BRICS. This could mean a shift towards payment systems that are less reliant on the existing Western-dominated networks.
So, what about American Express? Well, the fate of Amex cards in Russia is still in question. The main story is that Visa and Mastercard have been effectively out of the game for quite some time now. The real news is the expiry of the security certificates, which will impact domestic use of cards. This isn’t a sudden, complete shutdown, but rather the final phase of a process that began years ago. The real impact is for those traveling, or trying to use cards internationally.
The timing is certainly significant, coinciding with increased international pressure on Russia. It is important to understand that this has not just been a simple financial decision. Visa and Mastercard acted for reasons related to the invasion of Ukraine and the sanctions that followed. This has all had major implications for the Russian economy.
Of course, there are always those with the resources to find ways around these restrictions. The oligarchs, with their access to alternate payment options, might be less affected. The impact will likely be felt most by ordinary Russians, who could face limitations on their ability to make both domestic and international transactions.
This whole situation provides a look at how the global financial landscape is constantly changing and the various pressures shaping international relations. It also is a good reminder that what seems like a sudden event is often the culmination of a long process, a process that continues to unfold as the conflict in Ukraine goes on. This whole situation should not be taken as some sudden change of events and should be viewed instead as the final steps of a financial disconnection that began years ago.