Capital One Rewards Charities for New Credit Card Connections

August 12, 2009
By: Joe Taylor

Banking industry research suggests that outreach through smaller churches and charities can help credit card issuers uncover new customers in a highly saturated market. This explains part of the premise behind Capital One Card Lab Connect, a new suite of online tools that allows non-profit organizations of any size to create their own affinity credit card programs. Fundraisers can customize credit card designs and tailor credit card reward programs to fit their organizations' missions.

Participants in the Capital One's pilot phase reported success in switching existing donors to affinity accounts using the Card Lab Connect platform. Charities reap an immediate $25 donation upon a card's first use, plus additional donations equal to one percent of cardholder spending. The Giving USA Foundation estimates charitable giving dipped by 2% at the end of 2008, compared with the previous year. Therefore, fundraisers must find new income streams while reinvigorating existing donor pools.

Important Note! The information in this article is believed to be accurate as of the date it was written. Please keep in mind that credit card offers change frequently. Therefore, we can not guarantee the accuracy of the information in this article. Please verify all terms and conditions of any credit card prior to applying.