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Shirtcocker
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Discussion Starter · #1 ·

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Shirtcocker
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60,639 Posts
Discussion Starter · #3 ·
Creakyknees said:
translated: "you're such a deadbeat we're going to pay you to go away"
Wondering though if it's people like me who pay off balance each month or those that carry a high balance and they are worried they won't pay?
 

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hello
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Bocephus Jones II said:
Wondering though if it's people like me who pay off balance each month or those that carry a high balance and they are worried they won't pay?
+1

....
 

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"El Bwana"
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It applies to AMEX credit cards (like Blue) and not to their charge cards. If you have a card that you need to pay off each month, it won't apply to you.
 

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Shirtcocker
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Discussion Starter · #6 ·
PDex said:
It applies to AMEX credit cards (like Blue) and not to their charge cards. If you have a card that you need to pay off each month, it won't apply to you.
I do it voluntarily though--guessing I'm not making AMEX any money and they basically give me a 20 some day loan each month. You'd think they'd want people like me gone--the ones carrying the balance and paying the interest make them $$.

Then again the deal is that you must pay off your balance by a certain date to get the $300 and if you don't you don't get the $300 and your account still gets cancelled so it sounds like they are targeting those with a large balance all the time.
 

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Banned
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Bocephus Jones II said:
I do it voluntarily though--guessing I'm not making AMEX any money and they basically give me a 20 some day loan each month. You'd think they'd want people like me gone--the ones carrying the balance and paying the interest make them $$.

Then again the deal is that you must pay off your balance by a certain date to get the $300 and if you don't you don't get the $300 and your account still gets cancelled so it sounds like they are targeting those with a large balance all the time.
Don't worry they are making money off of you.
 

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"El Bwana"
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You help AMEX make money just fine. They have a much higher processing fee than Visa/MC that is charged to the business. At my uncle's sporting goods store, they were charging him 4-6%.
 

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Shirtcocker
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60,639 Posts
Discussion Starter · #9 ·
PDex said:
You help AMEX make money just fine. They have a much higher processing fee than Visa/MC that is charged to the business. At my uncle's sporting goods store, they were charging him 4-6%.
Yeah...forgot about that. It's a good deal for me though--plus I get something like 2% cashback annually.
 

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Captain Obvious
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Bocephus Jones II said:
I do it voluntarily though--guessing I'm not making AMEX any money and they basically give me a 20 some day loan each month.
they make money on each transaction
 

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Moderatus Puisne
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-1

roadfix said:
Their "charge" cards are unaffected.

"Pay in full each month," is the business model for Amex, and their "standard" credit cards were forays into a different market.

It sounds like this offer is being mailed to people that DO carry balances, to get them to shut it down. Even though Amex earns interest on this, it also kind of shafts how much money they can dish out at once. I am not super in the know on this one but it has to do with why they had to turn into a bank recently.

It sounds like they are getting back to basics.
 

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Rep *****.
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Bocephus Jones II said:
I do it voluntarily though--guessing I'm not making AMEX any money and they basically give me a 20 some day loan each month.
Amex gets their money by charging the merchants higher fees than other cards.
 

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Seat's not level
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Bocephus Jones II said:
Yeah...forgot about that. It's a good deal for me though--plus I get something like 2% cashback annually.
Take the money and go to hawaii
 

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Shirtcocker
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Discussion Starter · #14 ·
Chain said:
Take the money and go to hawaii
I haven't got the offer personally--I just heard about it.
 

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Gruntled
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Argentius said:
It sounds like this offer is being mailed to people that DO carry balances, to get them to shut it down.
That's right. I can't help thinking that it will backfire on them. They're going to lose the customers who have the ability to pay off their balances, pay them 300 bucks to go to another bank, and be left with the people who are up to their eyeballs in debt and can't pay their balance. They'll be spending a bunch of money to make the credit profile of their
customers worse.

You heard it here first. By the end of the year, this will be on the "dumbest business moves of the year" list.
 
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