UPDATE 1-Visa hires JPMorgan's Charles Scharf as CEO


Oct 24 (Reuters) - Visa Inc said Charles Scharf, a former head of JPMorgan Chase & Co's retail financial services division, will succeed Joseph Saunders as chief executive.

Visa's board had been searching for a successor to Saunders, who has headed the company since 2007.

Scharf, whose appointment is effective Nov. 1, has also been appointed to the payment network's board.

Scharf is currently managing director at One Equity Partners, which manages $10 billion of investments and commitments for JPMorgan Chase.

Saunders, 66, whose contract expires in March, had been expected to retire soon. He will continue as executive chairman until March 31, after which Visa will appoint a new non-executive independent chairman.

Visa said Scharf would be paid $950,000 per year in base salary and a bonus of up to 500 percent.

Scharf will also receive restricted stock and options worth $19 million, the company said in a filing with the U.S. Securities and Exchange Commission.

Shares of the credit and debit-card network were up 1 percent at $137.92 on the New York Stock Exchange on Wednesday morning.