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by minhduong243
816 days ago
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If you scroll down the page of this product, you will see that the card is issued by Coastal Community Bank. It's common that a popular technology firm partners with a bank to issue credit cards. Yes, APR is going to be 20%+ and even 30%+, but not all cardholders will revolve. Some, if not many, will be transactors and won't pay any interest at all. There is also cost of funds and losses. There is a reason why there is no other 3% cash back card on the market. The most popular set-and-forget card out there is 2% cash back. |
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Yes, not all accounts will revolve and be charged interest, many will. credit card balances have been going up for decades: https://fred.stlouisfed.org/series/REVOLSL (This is ALL revolving credit, not only credit cards, but it's mostly credit cards). It's well over 1 trillion dollars now. Yes there are cost(s), but credit is a very strong and well run business now and is absolutely a profit center for banks. If they get too many freeloaders that don't carry balances to hit their income targets, they will add some fine print to curtail freeloader use-cases enough that they can hit their income targets. This has been going on for decades now.