21–30 of 178 posts
Will leave these here, just one small step to help you regain your privacy: * https://marketingreportoptout.visa.com/OPTOUT/request.do * https://www.mastercard.us/en-us/about-mastercard/what-we-do/...
> To opt-out from our anonymization of your personal information...
Uh, I'm no lawyer, but the wording really gets my attention here.
I've always wondered: is the data the reason why credit card companies are willing to give cash back as high as 5% even to customers who carefully operate them at a clear loss for them?
Credit card issuers don't pay for the cash back, it's the merchant. The merchant's are charged a credit card transaction fee that includes a fixed/percent fee determined by the negotiated contract with their bank (the acquirer), a small fixed/percent interchange fee that goes to the credit card payment networks (Visa, MasterCard, etc.), and finally a fee to the credit card issuer that provided the credit card to the…
>"We don't sell your data, we share it." -all the companies involved Am I the only one thinking there might be some Clapper-level double-speak going on here? Why would these company share admittedly valuable data without being compensated? A question for contract lawyers: can I sell something (say an API or quarterly report) that "incidentally" includes customer data and get away with saying I'm not "selling customer…
Earlier quoted context omitted.
Credit card issuers don't pay for the cash back, it's the merchant. The merchant's are charged a credit card transaction fee that includes a fixed/percent fee determined by the negotiated contract with their bank (the acquirer), a small fixed/percent interchange fee that goes to the credit card payment networks (Visa, MasterCard, etc.), and finally a fee to the credit card issuer that provided the credit card to the…
Citation? It seems pretty crazy to me that every merchant would have to pay the difference when a customer decides to use a 5% cash back card. They can't even know the full list of cards out in circulation, and I doubt their contract says "the fee is whatever portion of the card's cash back we can't pay for" or something like that. It could work for a closed subset of cards they know about and might want to negotate…
Earlier quoted context omitted.
Citation? It seems pretty crazy to me that every merchant would have to pay the difference when a customer decides to use a 5% cash back card. They can't even know the full list of cards out in circulation, and I doubt their contract says "the fee is whatever portion of the card's cash back we can't pay for" or something like that. It could work for a closed subset of cards they know about and might want to negotate…
They do not pay the whole cash back, but they do pay more for "premium" cards (that they cannot refuse, also). See for instance this https://www.cfib-fcei.ca/sites/default/files/pdf/5513.pdf (in Canada, but the same thing applies to the US)
Earlier quoted context omitted.
Credit card issuers don't pay for the cash back, it's the merchant. The merchant's are charged a credit card transaction fee that includes a fixed/percent fee determined by the negotiated contract with their bank (the acquirer), a small fixed/percent interchange fee that goes to the credit card payment networks (Visa, MasterCard, etc.), and finally a fee to the credit card issuer that provided the credit card to the…
Citation? It seems pretty crazy to me that every merchant would have to pay the difference when a customer decides to use a 5% cash back card. They can't even know the full list of cards out in circulation, and I doubt their contract says "the fee is whatever portion of the card's cash back we can't pay for" or something like that. It could work for a closed subset of cards they know about and might want to negotate…
https://squareup.com/guides/credit-card-processing-fees-and-...
"The card that’s used
Debit cards with PINs are lower risk than credit cards, so they typically have a lower interchange rate. And rewards cards (travel, triple points, etc.) and business cards typically have have higher interchange rates."
Earlier quoted context omitted.
You also end up spending more, apparently--12 to 20% more. https://www.youtube.com/watch?v=MFkBoXhl5SU
They keep around customers who operate at losses for them because then they spend more? So they want these customers to operate at even larger losses?
Earlier quoted context omitted.
It's closer to 3%, and I don't think there's a way to beat that on the cash back except on a per category basis. Also, a lot of folks end up carrying a balance in spite of their best intentions. I suspect this happens relatively often even for folks with a long history of not doing so - e.g. maybe you get fired for the first time and start running up a balance, not long before you've run up some significant interest…
It's around 2% https://www.valuepenguin.com/what-credit-card-processing-fee... And then there's huge credit card bonuses like $150 for Chase Freedom which is like $7.5k of spending's worth... But again, that doesn't really answer my question. I very much realize lots of people do pay interest. But there are also people who don't, and possibly never have, for many years. I'm asking why do they keep those people around…
https://www.magnifymoney.com/blog/best-of/10-best-5-cash-bac...
This way they'll make money after the limit takes effect. My assumption is that they are hoping the consumer will forget there's a hard limit to the amount they can save and always go with their "5% cash back card" when making purchases.
Earlier quoted context omitted.
Citation? It seems pretty crazy to me that every merchant would have to pay the difference when a customer decides to use a 5% cash back card. They can't even know the full list of cards out in circulation, and I doubt their contract says "the fee is whatever portion of the card's cash back we can't pay for" or something like that. It could work for a closed subset of cards they know about and might want to negotate…
Here is a good explanation... https://squareup.com/guides/credit-card-processing-fees-and-... "The card that’s used Debit cards with PINs are lower risk than credit cards, so they typically have a lower interchange rate. And rewards cards (travel, triple points, etc.) and business cards typically have have higher interchange rates."
Earlier quoted context omitted.
They do not pay the whole cash back, but they do pay more for "premium" cards (that they cannot refuse, also). See for instance this https://www.cfib-fcei.ca/sites/default/files/pdf/5513.pdf (in Canada, but the same thing applies to the US)
Right, these are just Visa/MC/etc. card classes, which don't determine the cash back on them. And so if that doesn't make up the difference, then the card companies paying the rest, right? My point is that for high-cash-back cards there are easily customers who consistently make more in cash back than whatever fees these folks get and who don't rack up interest, meaning they're costing money, so why should they still…
I'm also not aware of any across-the-board 5% rewards cards, and most have an "up to $x,000 annual spend" on the categories that are that high.