OT - Bank of America Credit

Steve Scott wrote:


It's about the same proft margin as a grocery store.
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Yes, it is.
CC companies... WITHOUT interest, WITHOUT fees - make money.
Allowing folks who are not creditworthy to have CC cards MAKES THEM MORE MONEY - because the merchants still pay fees on transactions.
There is absolutely NO INCENTIVE for CC companies to decline credit.
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Steve Scott wrote:

That isn't the profit to the CC company. That is the profit of the transaction processor. They are the ones the merchant hires to send the transaction off to the customers bank. What's in it for the bank that issues the card? Or don't you know how many hands pass a credit card transaction around before it gets on your statement.
Oh and think about this for a second, commercial paper [bonds] is about 8 to 10% So they have to borrow the money to cover your charge. What's their profit again?

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Golden California Girls wrote:

Two "kins"? Really? ;-)

Check your facts Jill! CC companies charge a premium to the vendor for the privilege of allowing the customer to charge. "*NO* money"? Not really.

Cite a reference! Surely you don't expect me to take that on face value.

Irrelevant.
No I am not and I challenge you to point out where I said that. You won't fine it.

Really?!? Tell me something I don't know. Better yet tell me something that's germane to my point!

Regardless, when CC companies get hit, innocents get hit. That's wrong no matter what you say.

Irrelevant.
All of this is irrelevant. Either a person is responsible for their actions or they are not. I can't believe that you appear to be arguing that people should not be responsible for their actions.
When such deadbeats do not pay their debts then other innocent people suffer. It is irrelevant if those other innocents are good risks or bad risks. The point is they are INNOCENT!?! Are you that stupid as to not understand this simple concept?
--
Andrew DeFaria <http://defaria.com
You must be Daddy's little pumpkin, I can tell by the way you roll. -
  Click to see the full signature.
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After slogging down one of the longer threads (OT, no less) in this NG, I sort of lost track of Who's on first, What's on second and so on.
HOWEVER,and with much trepidation lest this starts another cascade -
1) whoever (Steve Scott?) said - in effect - that what can't be retrieved from the deadbeats should come from the CC companies' profits and not from the rest of CC holders, seems to miss the point that the CC companies' profits come from the rest of CC holders: US!
2) whoever commented negatively on BoA for issuing CCs to non-citizens/non-residents/undocumented folks/illegal aliens, might ponder the difference between use of CCs in the USA issued by BoA in the USA to these people VS. use of CCs in the USA issued by BoA to those same people in their home countries before they somehow made it over the border and stayed.
INCOMING!!
Jay .
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Jay:
You're a better man than I. My eyes glazed over A LONG TIME AGO ;-)
Bob
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