Americans paid down credit card debt during the pandemic. Credit card issuers are spending big to get them borrowing again. Lenders are spending on mailers and generous rewards to lure customers and boost balances. Banks’ credit card marketing costs surged last quarter. Mailed credit card solicitations are back above pre-pandemic levels. Issuers are making cash-back offers and other rewards more generous.
Buy now, pay later payment plans let consumers break up their total purchase at checkout into a series of smaller installments. But with promises of convenience, zero interest and minimal fees, many shoppers are wondering, “What’s the catch?” It could be your credit. BNPL providers don’t typically report on-time payments to the major credit bureaus, so unlike with credit cards or loans, you can’t build credit with this type of financing. Some providers will report missed payments, though, which could end up hurting your score. [Associated Press]
Amazon is considering dropping Visa as a partner on its U.S. co-branded credit card after earlier confirming it would stop accepting Visa credit cards in the United Kingdom as a dispute over payments intensified. Since Britain’s exit from the European Union, an EU-enforced cap on fees charged by card issuers is no longer in place in the UK, meaning providers are free to hike charges. Visa last month began charging 1.5% of the transaction value for credit card payments made online or over the phone between the UK and EU, up from 0.3%. [Reuters]
Eligible Chase Cardholders Now Get $10 a Month Per Card in Credits for Gopuff’s Rapid Delivery Service
Gopuff is an online service that delivers thousands of products to you for a nominal fee. From alcohol to electronics to medicine, you can get just about any “everyday” item through Gopuff. It prides itself on its speedy delivery time of 30 minutes, though it’s not guaranteed. Now, Gopuff has partnered with Chase credit cards to give select cardmembers new benefits, namely, $10 in statement credits each month you use an eligible card to make a Gopuff purchase. The service charges a fee of $1.95 per delivery, or you can join Gopuff Fam and pay a flat $5.95 per month for unlimited deliveries. The minimum order is $10.95, and there’s an additional fee of up to $2 if your order contains alcohol. [Business Insider]