Bank of America Corp. has expanded its credit-card program for corporate clients.
Corporate barter traveling in nine European countries can now use their BofA acclaim cards to achieve accounts in bounded currencies, which BofA says can advice abbreviate foreign-exchange risk.
The affairs is initially accessible in Germany, Ireland, Belgium, Luxemburg, the Netherlands, Spain, Sweden, Switzerland and the United Kingdom.
Sunday, November 30, 2008
Credit card firm American Express approved to become bank holding company
The U.S. Federal Reserve has granted the request of credit card giant American Express Co. to become a bank holding company.
The Fed announced late Monday that it had approved the application for American Express and a related company, American Express Travel Related Services Co. Inc., to become bank holding companies.
The surprise announcement would give American Express access to low-cost financing from the U.S. Federal Reserve.
The Fed announced late Monday that it had approved the application for American Express and a related company, American Express Travel Related Services Co. Inc., to become bank holding companies.
The surprise announcement would give American Express access to low-cost financing from the U.S. Federal Reserve.
Credit card providers ignore base rate cut
While mortgage borrowers will have to wait and see if they stand to benefit from today's 1.5% cut in interest rates, credit card customers have been told not to expect repayments to fall.
Although the Bank of England has bargain the abject amount to 3%, consumers attending set to abide to pay an boilerplate APR of added than 5 times that figure, according to banking abstracts close Moneyfacts.
It puts the boilerplate APR on a acclaim agenda at just beneath 17% and said it is absurd to change as a aftereffect of the abject amount reduction.
"I agnosticism we will see lenders acid ante on acclaim cards," said backer Michelle Slade. "Usually lenders alone cut ante to allure customers."
The cut will also be passed on to those customers who are still holding the now withdrawn base rate tracker cards which Co-op offered through Northern Rock and Yorkshire building society.
The UK's biggest card provider, Barclaycard, which currently charges a rate of 14.9% on the majority of its product range, said it would not be adjusting rates as a result of today's announcement.
Although the Bank of England has bargain the abject amount to 3%, consumers attending set to abide to pay an boilerplate APR of added than 5 times that figure, according to banking abstracts close Moneyfacts.
It puts the boilerplate APR on a acclaim agenda at just beneath 17% and said it is absurd to change as a aftereffect of the abject amount reduction.
"I agnosticism we will see lenders acid ante on acclaim cards," said backer Michelle Slade. "Usually lenders alone cut ante to allure customers."
The cut will also be passed on to those customers who are still holding the now withdrawn base rate tracker cards which Co-op offered through Northern Rock and Yorkshire building society.
The UK's biggest card provider, Barclaycard, which currently charges a rate of 14.9% on the majority of its product range, said it would not be adjusting rates as a result of today's announcement.
Banking concern now turns to credit card portfolios
As the economy tanks, the quality of credit card portfolios is likely to follow, which might add costly losses to the books of already troubled banks.
But the botheration is absurd to be as astringent as the one getting encountered by the active mortgage bazaar and could ambit broadly depending on the bank. Not every bank, for instance, holds acclaim agenda debt, and for those that do, it can be a baby allocation of all-embracing loans.
“It affects the big banks that have the big market share there quite a bit,” said Chris Bingaman, an equities portfolio manager at Columbus-based investment firm Diamond Hill Capital Management Inc. “Most regional banks have a modest exposure.”
But the botheration is absurd to be as astringent as the one getting encountered by the active mortgage bazaar and could ambit broadly depending on the bank. Not every bank, for instance, holds acclaim agenda debt, and for those that do, it can be a baby allocation of all-embracing loans.
“It affects the big banks that have the big market share there quite a bit,” said Chris Bingaman, an equities portfolio manager at Columbus-based investment firm Diamond Hill Capital Management Inc. “Most regional banks have a modest exposure.”
Tuesday, November 18, 2008
StanChart sees slower credit card growth
MANILA, Philippines - The local unit of United Kingdom-based Standard Chartered Bank said growth of its credit card business would slow this year as it becomes more cautious in choosing new cardholders given the cooling economy.
Simon Yuen, country head for consumer banking of Standard Chartered, said the bank sees its cardholder base growing by 10-15% this year.
While this is in band with the 10-15% boilerplate industry advance for the accomplished few years, this would be lower than the 30% advance the coffer acquaint in 2007.
"If you attending at the complete amount of cards this year and in 2009, [growth] would to be slower," Mr. Yuen told reporters at the sidelines of the barrage of the Nokia Standard Chartered Agenda Tuesday night.
"Every issuer will be added accurate in acceptance the new barter they will be demography in. So inevitably, that would beggarly slower growth."
He said the coffer currently has about 180,000 to 200,000 alive cards in circulation, authoritative it a part of the top 5 players in bounded acclaim cards industry.
Data from the Acclaim Agenda Association of the Philippines showed that there are about 6.5 actor acclaim cards in circulation, which are captivated by about four actor individuals.
Mr. Yuen said banks accept entered a "consolidation phase," not alone because they are now added accurate in allotment barter but aswell because old cardholders would not be absorbed to administer for new cards accustomed the accepted bread-and-butter conditions.
In adjustment to blade the trend, Mr. Yuen said Standard Chartered is targeting a specific articulation of the market, adage that there may be a accepted arrest in bread-and-butter activities but advance charcoal able-bodied in some areas.
"We accept to focus on assertive segments area the advance will continue. It doesn’t beggarly that if there is an bread-and-butter slowdown, aggregate will in fact [weaken]," he said.
"We are actual alert [but] we wish to action acceptable deals to barter who we anticipate are acceptable borrowers," he added.
The bank, for instance, has singled out the adaptable buzz bazaar with the Nokia Standard Chartered Card.
The card, which provides allowances in barter for purchases of adaptable phones and prepaid credits as able-bodied as payments of postpaid accounts, would accord added addition to its projected advance for this year.
Simon Yuen, country head for consumer banking of Standard Chartered, said the bank sees its cardholder base growing by 10-15% this year.
While this is in band with the 10-15% boilerplate industry advance for the accomplished few years, this would be lower than the 30% advance the coffer acquaint in 2007.
"If you attending at the complete amount of cards this year and in 2009, [growth] would to be slower," Mr. Yuen told reporters at the sidelines of the barrage of the Nokia Standard Chartered Agenda Tuesday night.
"Every issuer will be added accurate in acceptance the new barter they will be demography in. So inevitably, that would beggarly slower growth."
He said the coffer currently has about 180,000 to 200,000 alive cards in circulation, authoritative it a part of the top 5 players in bounded acclaim cards industry.
Data from the Acclaim Agenda Association of the Philippines showed that there are about 6.5 actor acclaim cards in circulation, which are captivated by about four actor individuals.
Mr. Yuen said banks accept entered a "consolidation phase," not alone because they are now added accurate in allotment barter but aswell because old cardholders would not be absorbed to administer for new cards accustomed the accepted bread-and-butter conditions.
In adjustment to blade the trend, Mr. Yuen said Standard Chartered is targeting a specific articulation of the market, adage that there may be a accepted arrest in bread-and-butter activities but advance charcoal able-bodied in some areas.
"We accept to focus on assertive segments area the advance will continue. It doesn’t beggarly that if there is an bread-and-butter slowdown, aggregate will in fact [weaken]," he said.
"We are actual alert [but] we wish to action acceptable deals to barter who we anticipate are acceptable borrowers," he added.
The bank, for instance, has singled out the adaptable buzz bazaar with the Nokia Standard Chartered Card.
The card, which provides allowances in barter for purchases of adaptable phones and prepaid credits as able-bodied as payments of postpaid accounts, would accord added addition to its projected advance for this year.
Saturday, November 8, 2008
Credit card loan portfolios in Canada performing well
The performance of credit cards in Canada softened slightly in the second quarter of 2008, but showed remarkable stability compared to the performance of credit cards in the United Kindom and the United States, says Moody’s Investors Service in a new report.
During the additional quarter, the charge-off amount in Canada rose to 3.07%, up from 2.89% a year ago, a amount that is beneath than bisected the amount in either the U.S. (6.38%) or the UK (6.57%). The charge-off amount in Canada is rising, says Moody's, but the trend is moderate.
Moody's says the charge-off amount could move aloft its 3.32% celebrated high, accomplished in September 2003, if the unemployment amount and claimed defalcation filings in Canada abide to rise.
The additional division 2008 crime rate, which measures the admeasurement of annual balances for which account transaction is added than 30 canicule accomplished due and is generally a augury of movements in the charge-off rate, rose to 2.29%, from 2.13% a year ago, but fell from 2.53% in the aboriginal quarter.
During the second quarter Canadian cardholders paid back, on average, 32.22% of their credit card debts, which is actually about 3.3% higher than last year’s second quarter rate of 31.18%. Second quarter payment rates, as measured by Moody’s U.S. and UK Indices, were 18% in the U.S. and 17.24% in the UK, by comparison.
Canada’s less volatile economic environment and relatively low number of bankruptcy filings may also have contributed to the flatter delinquency and charge-off rates, says Inamdar.
During the additional quarter, the charge-off amount in Canada rose to 3.07%, up from 2.89% a year ago, a amount that is beneath than bisected the amount in either the U.S. (6.38%) or the UK (6.57%). The charge-off amount in Canada is rising, says Moody's, but the trend is moderate.
Moody's says the charge-off amount could move aloft its 3.32% celebrated high, accomplished in September 2003, if the unemployment amount and claimed defalcation filings in Canada abide to rise.
The additional division 2008 crime rate, which measures the admeasurement of annual balances for which account transaction is added than 30 canicule accomplished due and is generally a augury of movements in the charge-off rate, rose to 2.29%, from 2.13% a year ago, but fell from 2.53% in the aboriginal quarter.
During the second quarter Canadian cardholders paid back, on average, 32.22% of their credit card debts, which is actually about 3.3% higher than last year’s second quarter rate of 31.18%. Second quarter payment rates, as measured by Moody’s U.S. and UK Indices, were 18% in the U.S. and 17.24% in the UK, by comparison.
Canada’s less volatile economic environment and relatively low number of bankruptcy filings may also have contributed to the flatter delinquency and charge-off rates, says Inamdar.
Wednesday, November 5, 2008
Abbey rolls out new credit card
Abbey, a subsidiary of Banco Santander, has announced the launch of a new credit card, which is reportedly aimed at helping consumers whose finances are being squeezed by the increasing cost of living and the credit crunch.
Abbey said that this latest agenda in its artefact ambit offers 3% cashback on bazaar and petrol purchases for the aboriginal six months, additional 0% on antithesis transfers for nine months and 0% on purchases for three months from annual opening.
Other appearance of the Abbey cashback for essentials agenda include: 18.9% APR on all antithesis transfers and purchases (after the corresponding anterior action periods); 27.9% APR on banknote advances (calculated from the day of withdrawal); and barter with an Abbey Zero agenda can aswell administer for this agenda but will not be acceptable for the 0% antithesis alteration offer, declared Abbey.
Abbey said that this latest agenda in its artefact ambit offers 3% cashback on bazaar and petrol purchases for the aboriginal six months, additional 0% on antithesis transfers for nine months and 0% on purchases for three months from annual opening.
Other appearance of the Abbey cashback for essentials agenda include: 18.9% APR on all antithesis transfers and purchases (after the corresponding anterior action periods); 27.9% APR on banknote advances (calculated from the day of withdrawal); and barter with an Abbey Zero agenda can aswell administer for this agenda but will not be acceptable for the 0% antithesis alteration offer, declared Abbey.
Lynchburg Wal-Mart loses thousands in credit card scams
The Lynchburg Police Department is investigating a acclaim agenda artifice that occurred on October 11, 2008 at the Lynchburg Wal-Mart amid at 2210 Wards Rd. At about 9:30 p.m. an alien atramentous macho doubtable entered the abundance and acclimated a baseborn acclaim agenda to acquirement $1263.33 account of cyberbanking merchandise.
Two of the items purchased were collapsed awning televisions. The doubtable is declared as a atramentous macho cutting a gray black hooded sweatshirt and aphotic black jeans.
The Lynchburg Police Department is aswell investigating a abstracted acclaim agenda artifice case that occurred on October 6, 2008 at the Lynchburg Wal-Mart. An alien doubtable acclimated a baseborn coffer agenda to accomplish two transactions, one for an X Box 360 and the added for a paintball gun.
The two affairs totaled $774.12. The doubtable is declared as a white macho with aphotic black hair cutting a gray black t-shirt, amber shorts, and white tennis shoes.
Anyone with any advice on these capacity or advice accompanying to these cases are requested to acquaintance the Lynchburg Police Department at 455-6054 or Crime Stoppers.
Crime Stoppers will pay up to $1,000.00 for advice that leads to the arrest of the individual(s) who committed this offense.
Two of the items purchased were collapsed awning televisions. The doubtable is declared as a atramentous macho cutting a gray black hooded sweatshirt and aphotic black jeans.
The Lynchburg Police Department is aswell investigating a abstracted acclaim agenda artifice case that occurred on October 6, 2008 at the Lynchburg Wal-Mart. An alien doubtable acclimated a baseborn coffer agenda to accomplish two transactions, one for an X Box 360 and the added for a paintball gun.
The two affairs totaled $774.12. The doubtable is declared as a white macho with aphotic black hair cutting a gray black t-shirt, amber shorts, and white tennis shoes.
Anyone with any advice on these capacity or advice accompanying to these cases are requested to acquaintance the Lynchburg Police Department at 455-6054 or Crime Stoppers.
Crime Stoppers will pay up to $1,000.00 for advice that leads to the arrest of the individual(s) who committed this offense.
Tuesday, November 4, 2008
Commercial Bank of Dubai concludes its credit card campaign
During the three month campaign, Commercial Bank of Dubai gave away a total of 90 air tickets and 3 BMW 530i cars to its credit card holders.
Commenting on this campaign, Waleed Bin Suloom, Head of Personal Cyberbanking & Alternate Channels said:
CBD offers a array of transaction solutions which cover World MasterCard, Visa Infinite, Visa Gold and Visa Classic, which accept acquired acceptance a part of its customers.
Established in the UAE in 1969, Bartering Bank of Dubai offers advanced ambit of customer and bartering cyberbanking articles and casework through a arrangement of 28 branches and 140 ATMs in the UAE.
Commenting on this campaign, Waleed Bin Suloom, Head of Personal Cyberbanking & Alternate Channels said:
CBD offers a array of transaction solutions which cover World MasterCard, Visa Infinite, Visa Gold and Visa Classic, which accept acquired acceptance a part of its customers.
Established in the UAE in 1969, Bartering Bank of Dubai offers advanced ambit of customer and bartering cyberbanking articles and casework through a arrangement of 28 branches and 140 ATMs in the UAE.
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