GratisCard Credit Card Review
Author: joelmeu
Posted: Wed Mar 14, 2007 10:05 pm
Post subject: GratisCard: Predictions of its Impact on Credit Industry?
GratisCard merchant fees are about 75% less than MasterCard, Visa, AmEx, etc. It's just a startup at this point. Read about it here:
http://www.businessweek.com/bwdaily/dnflash/content/mar2007/db20070313_537730.htm
Any predictions on how long it'll take to build their merchant network? Effect on credit card rewards programs?
_________________
Joel M.
Maximize your credit card rewards with the free rewards calculator at...
www.CreditCardTuneUp.com
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: artcubed
Posted: Wed Mar 14, 2007 11:30 pm
Post subject:
Seems good for merchants. The good part is that it should lower overhead costs, thereby lowering prices. But what is to stop those merchants from keeping prices the same and pocketing the difference? Also, I don't think they could sustain a rewards program on interchange fees that are that low...I won't even guess if/when this will catch on.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: hdporter
Posted: Thu Mar 15, 2007 12:20 am
Post subject:
Gratis -- Interesting card. No intro 0% purch/bt, but worth exploring ...
I did: Immediate online approval. I declined it.
My profile is 720+ FICO on all CRA's, and the greater body of my cards have $10K+ CL's, with int rates curr running 8.9%-13.24% (the higher rate card has rewards much sweeter than the 1% of the GratisCard).
Gratis states rates go as low as 7.99%, but for me it came through a CL of $3K at 16.99%. Yeah, right.
Of course, this is consistent with a card that has set a business model worthy of a former Providian:
"Case hopes increase access to credit and debit cards for lower-income shoppers as well as consumers with bad credit."
Can't help to wonder if cardholders will be flooded with offers to increase CL's by $500 for a modest $39 fee.
I fully expect the low interchange fees will be quite successful at rapid merchant acceptance. However, Gratis clearly looks to supplement those fees on the backs of their cardholders. You ask me, they've put the cart before the horse. I didn't look for Steve Case to take us all for a bunch of chumps.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: artcubed
Posted: Thu Mar 15, 2007 12:45 am
Post subject:
hdporter wrote:
I did: Immediate online approval. I declined it.
You applied? Where did you find an app?
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Posted: Wed Mar 14, 2007 10:05 pm
Post subject: GratisCard: Predictions of its Impact on Credit Industry?
GratisCard merchant fees are about 75% less than MasterCard, Visa, AmEx, etc. It's just a startup at this point. Read about it here:
http://www.businessweek.com/bwdaily/dnflash/content/mar2007/db20070313_537730.htm
Any predictions on how long it'll take to build their merchant network? Effect on credit card rewards programs?
_________________
Joel M.
Maximize your credit card rewards with the free rewards calculator at...
www.CreditCardTuneUp.com
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: artcubed
Posted: Wed Mar 14, 2007 11:30 pm
Post subject:
Seems good for merchants. The good part is that it should lower overhead costs, thereby lowering prices. But what is to stop those merchants from keeping prices the same and pocketing the difference? Also, I don't think they could sustain a rewards program on interchange fees that are that low...I won't even guess if/when this will catch on.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: hdporter
Posted: Thu Mar 15, 2007 12:20 am
Post subject:
Gratis -- Interesting card. No intro 0% purch/bt, but worth exploring ...
I did: Immediate online approval. I declined it.
My profile is 720+ FICO on all CRA's, and the greater body of my cards have $10K+ CL's, with int rates curr running 8.9%-13.24% (the higher rate card has rewards much sweeter than the 1% of the GratisCard).
Gratis states rates go as low as 7.99%, but for me it came through a CL of $3K at 16.99%. Yeah, right.
Of course, this is consistent with a card that has set a business model worthy of a former Providian:
"Case hopes
Can't help to wonder if cardholders will be flooded with offers to increase CL's by $500 for a modest $39 fee.
I fully expect the low interchange fees will be quite successful at rapid merchant acceptance. However, Gratis clearly looks to supplement those fees on the backs of their cardholders. You ask me, they've put the cart before the horse. I didn't look for Steve Case to take us all for a bunch of chumps.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: artcubed
Posted: Thu Mar 15, 2007 12:45 am
Post subject:
hdporter wrote:
I did: Immediate online approval. I declined it.
You applied? Where did you find an app?
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Labels: Alternative Credit Card, New GratisCard Credit Card Perks
posted by CardRatings.com at 12:37 AM
0 Comments:
Post a Comment
<< Home