Threaddeddedd
Would integrate with all of the card networks through their respective APIs, spread expenditure across cards automatically, target specific cards for specific purchase types, smart locking & automatic card balance handling
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Good thread
It truly was. We'd also deal directly with the card manufacturers, and were actively attempting to develop our own card specifications
Most Americans have a dozen or so cards, all with different benefits, payment plans, etc.
This assumption is correct
sad european noises
their interchange fees are 8x-10x higher than the EU cap
they can offer much better points multipliers, signup bonuses, etc
just compare AMEX's US offerings to, i.e the UK
Just the nature of spending in the US, where having a large number of cards to cover costs is encouraged at every level, from advertisement to banking
lots of the rewards cards are made to be paid off in full or offer instalment plans at 0% apr
if you don't then sure, you'll get bonked with 25-30%+ apr
It does, which is why our platform came into fruition. Attempting to mitigate debt by helping people utilize cards that best meet their needs, set goals and limits, etc.
and not need to handle 12 or so physical cards to prevent issues with individual or total compromises
It’s weird because I know people who took out like 2 credit cards before applying for a loan because their credit amount shoot up like 10k. They never even touched the cards
This
Same experience here - I don't personally own a credit card, but having credit history (especially in the US) is very, very important
it's very easy to get 12-24 months of 0% APR on stuff like balance transfers or purchases in the UK, even with a low-med credit score
You quite literally cannot live comfortably in the US without having extensive credit history
i mean that's their target audience, people who will spend but can't pay it off in time
They also make money on payment fees, like you said before
the UK/EU banned 'card fees' so most platforms moved to charging everyone a 'service fee', card or not
plus our interchange rates are capped at like 0.3% whereas the US isn't - i think the avg there is around 2%?
It doesn't seem like a lot, 1%, 1.5%, + .30c per transaction, but consider that you're handling $600bn+ annually
That's really good
I wish it were this way here - too bad lobbying is a legal form of bribery
it does make the rewards CC offerings a lot smaller
our all-time highest sign-up bonus, when AMEX increased the annual fee on the Plat, is still below the US's normal day to day sign-up bonuses
They earn rewards from fees - rewards will never be greater than that. So technically you're being rewarded with your own money anyways
Rewards just feel like rewards because it's expected that they will take as much of your money as possible here
we have 2 cards that have a partnership with british airways to do upgrade vouchers - pay the avios for Cabin A, get Cabin B - which is the only way it's feasible for the majority of people
This is because EMVCo controls the tap to pay and 3D payment processing
since most people don't spend enough to have the avios for Cabin B outright
These benefits are truly the only ones that make sense - having partnerships with other companies and utilizing specific cards for specific offerings
It doesn't technically cost companies more to upgrade you, assuming that you aren't taking up space that another paying customer would utilize, because you never intended to upgrade in the first place. The people who can afford to not care aren't their target audience
Unfortunately this will always be the case
Gas is variable price commodity, and thus will always be subject to this as the price fluxuates, corporate deals end, etc. etc.
Are you from the US?
Didn't think so
You probably have pretty decent travel insurance offerings
Unfortunately here those are all locked behind the 25% APR cards, where people legitimately go into debt from buying gas and groceries
Monzo US have a cool feature I wish Monzo UK had, even though Monzo started in the UK
With Open Banking, you can have your other cards appear in the Monzo app - i.e American Express. You see the balance, transactions, etc
In the US, you can make it so that everytime you spend on your CC it puts money from your bank acc into a dedicated pot
Seems to have cool benefits but lots of people are wary of it not being a 'bank bank' in the UK
Unsure, never really dealt with them. Considered them for business banking, eventually went elsewhere
They are federally insured in the US
Unsure, they may have partner banks that they go through
Don't really know a whole lot about them