LowCards.com Weekly Credit Card Update–April 19, 2019

LowCards.com Weekly Credit Card Update–April 19, 2019

April 19, 2019         Written By Bill Hardekopf

4 Of 9 Credit Card Applications Submitted On Mobile Device
Credit card marketing offers are almost equally split between digital and non-digital methods, but nearly three-quarters (73%) of completed applications are received digitally. According to the Mintel report, 4 in 9 (44%) of all credit applications are completed using smartphones or tablets. Almost one-quarter (23%) of credit card offers came via websites, either card issuer websites (13%) or third-party websites that allow consumers to compare similar offerings from different issuers. E-mails from card issuers made up 11% of offers, while mobile apps and social media channels each claimed 6% of offers. Text messages were the least used, at 3% of all offers. Story in Money Tips

T-Mobile Gets Into Banking, Offering 4% Interest and No Fees on its Free Checking Account
T-Mobile is jumping into the banking business with a splash. The wireless carrier on Thursday introduced a mobile checking account that offers an interest rate thousands of times higher than the national average. Called T-Mobile Money, the new service has no minimum balance requirements and no monthly, overdraft, transfer or late-payment fees. It also offers a potential 4% interest rate on balances up to $3,000 – compared with the industry average of 0.06%. After that, the rate is 1%. T-Mobile is partnering with BankMobile, a division of Pennsylvania-based Customers Bank, on the new service. Story by Eli Blumenthal and Janna Herron for USA Today

College Students Who Use Credit Cards Now Carry 5 on Average
Among those who have at least one credit card, college students now have an average of 5.2, a new report shows. That’s higher than the 4.4 cards held last year by a typical card-holding American of any age. Sallie Mae’s 2019 Majoring in Money report found that 57% of the students surveyed carry at least one credit card. The average number of credit cards students hold seems to be increasing. In 2016, college students with at least one credit card only carried an average of three cards, the survey reports, compared to an average of five today. Story by Megan Leonhardt for CNBC

23% Of Americans Save No Money From Their Paycheck
As part of its 2019 Savings Survey, First National Bank of Omaha examined Americans’ habits, behaviors and priorities when it comes to saving, monthly spending and retirement planning. 23% report they put in 0% of their monthly paycheck toward savings. 26% attribute high costs of living as to why they don’t have as much in savings as they would like. 13% say credit card debt prevents them from saving. 13% say student loan debt prevents them from saving. Story by Zack Friedman for Forbes

This is Why 39 Million Americans Have Been in Credit Card Debt for at Least 2 Years
Americans are notorious for racking up credit card debt, but new data from CreditCards.com reveals a frightening statistic: A good 39 million Americans have been carrying credit card debt for at least two years. Meanwhile, 14 percent of folks with credit card debt have been carrying a balance for at least five years, while 7 percent can’t even remember how long they’ve been in debt. When we think of the reasons why people might end up with credit card debt, it’s easy to point a finger at impulse shopping. But actually, more than a third of U.S. adults attribute their credit card debt to emergencies – 14 percent cite car repairs, 12 percent blame medical bills, and 9 percent chalk it up to home repairs. Story by Maurie Backman for USA Today

Mastercard Adds New Benefits for World and World Elite Cardholders
Many Mastercard credit cardholders in the U.S. are getting a fleet of new benefits, most of which start April 16, in partnership with major digital brands such as Lyft, Postmates and Fandango. New benefits will be added to cards at the “World” and “World Elite” levels. Plenty of cards run on the Mastercard payment network, but not all Mastercards are World or World Elite. Examples of affected cards include the Capital One Savor Cash Rewards Credit Card and the Barclaycard Arrival Plus World Elite Mastercard. Story by Melissa Lambarena for NerdWallet

Similarly to Apple Card, These Credit Cards Use Virtual Numbers for Extra Security
One of the exciting things that Apple Card is going to support is Virtual Account Numbers. However, virtual account numbers have been around for several years from a few different credit card issuers. A credit card offering virtual account numbers allows any of us to generate new credit card numbers tied to the main account. These virtual numbers can be given time and amount limits to help us avoid fraud. Capital One offers Virtual Account Numbers for eligible consumer credit cards through its Eno program. Bank of America offers Virtual Account Numbers for eligible Visa and MasterCard credit cards through its ShopSafe program. Another option is Citi, which also offers virtual account numbers to their customers for free. Story by Joe Wituschek for iMore

How Mobile Payments are Changing the Restaurant Industry
Restaurants are diversifying the payment methods they accept. Cash, credit, and debit payments are almost universal across full-service restaurants in the U.S., but restaurants are increasingly accepting digital wallets like Apple Pay, Google Pay and Samsung Pay. As of December 2018, it was found that nearly 20% of FSRs are set up to take all three. Mobile payments are changing the restaurant industry in three significant ways. Story by Alex Barrotti for Mobile Payments Today

Barclays Adds New Credit Card Control Features to Mobile App
Barclays has added several new features to its mobile app. Cardholders now have more control over how they use and monitor their Barclays credit card. The new features include SecureHold, which allows cardholders to lock their cards from their mobile phones if they are lost or stolen; the ability to customize spending based on merchant type, such as restaurants or department stores; real-time spending alerts every time the card is used; the ability to set spending limits for every transaction – this service works for cardholders and authorized users. The spending limit is particularly useful since it allows parents to set limits for children on their accounts. Story by Lynn Oldshue for LowCards.com

Why Mastercard Bought Point-of-Sale Lending Platform Vyze
As banks, merchants, and even tech companies offer consumers new and different ways to pay for stuff, credit card companies are trying to protect their role as the preeminent platform for everyday purchases by offering more buy-now-pay-later options. That’s why Mastercard paid an undisclosed amount this week for the point-of-sale loan platform Vyze, which lets consumers take small, short-term loans for everyday purchases without racking up credit card debt. Increasing payment options for consumers buying non-essential items is one way Mastercard hopes it can help merchants finance more sales with less risk, and add a new revenue stream as some consumers forgo credit-card purchases. Story by Tanaya Macheel for Cheddar

How New York City Plans to Become a Cybersecurity Hub
Start spreading the news, folks. New York City wants to be king of the hill, top of the heap, “A” number-one in cybersecurity. The city that never sleeps needs cybersecurity pros to defend against the attacks that never sleep. Wall Street banks and hedge funds are working closely with the city to attract experienced security pros, to train the next generation of security leaders, and to grow the talent pool. Story by J.M. Porup CSO Online

Coinbase is Launching a Bitcoin Debit Card in Europe
A popular cryptocurrency exchange is launching a Visa card in the United Kingdom that will let users pay with bitcoin, ethereum and litecoin. Coinbase said Thursday that the card, which will convert crypto coins to pounds, can also be used to withdraw money from ATMs. A related app will let customers decide which digital currency to use. It’s the first card of its kind in the United Kingdom, according to the company. It will roll out in other European countries soon. Story by Julia Horowitz for CNN


About Bill Hardekopf

Bill Hardekopf is the CEO of LowCards.com and covers the credit card industry from all perspectives. Bill has been involved with personal finance for over 15 years. He is a frequent contributor to Forbes, The Street and The Christian Science Monitor.
View all posts by Bill Hardekopf
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