How Much Your Stolen Credit Card Is Worth; The End Of Overdraft Fees?

Capital One is Biggest U.S. Bank to End Overdraft and Insufficient Fund Fees

Capital One became the largest U.S. bank to say it will ditch all overdraft and insufficient fund fees for consumers, as regulators tighten their oversight of institutions that are heavily dependent on overdraft fees. The sixth-largest retail bank in the U.S. unveiled the move the same day the CFPB announced it would take action against banks whose practices it says take advantage of financially vulnerable consumers. [CBS News]

Capital One became the first major card issuer to do away with overdraft fees


Your Credit Card Number Is Worth Just $5 on the Dark Web

How much do you think someone would be willing to pay for your credit card information on the dark web? It may surprise you to learn that the total cost is only a few dollars, and much less than the cost of your bank account. The worldwide average cost to purchase a card was $9.70 in total. However, some countries—Hong Kong and the Philippines, specifically—may cost closer to $20, while Mexico costs a mere $2.36 on average. Of all the countries with cards found on the dark web, the United States was the most affected with 1,561,739 cards for sale. [PC Mag]

Credit Card Applications Rise to Pre-Pandemic Levels

American consumers are applying for credit cards at pre-pandemic rates, an increase that is broad-based across age and credit score groups, according to the New York Federal Reserve. The application rate for credit cards rose throughout 2021, reaching 26.5% in October, 10.8 percentage points higher than its October 2020 level, which was a series low. In addition, data showed that the application rate for credit card limit increases also rebounded. [GO Banking Rates]

It Takes More Than Convenience to Woo Credit Card Users

Consumers want more than just a great interest rate when they choose a credit card issuer. Three out of four consumers consider user experience features such as cash back rewards, better data privacy protection and credit-building tools. A report found that many consumers use credit cards to manage debt, cash flow and increase their credit scores. In the last 12 months, 168 million consumers have used a credit card, and 137 million have done so in a way that they have balances due month after month. Research shows that 75% of active users who are parents cite credit-building tools as a key factor when deciding between cards. [PYMNTS]

More Than Half of Shoppers Are Going into Debt This Holiday Season

Americans are spending a little less this holiday season, but still more than they can afford. Total spending on Black Friday, both in stores and online, fell slightly from a year ago, the first decline on record, in part because holiday shoppers started their shopping earlier in face of supply chain setbacks and shipping delays. Consumers plan to spend $997 on average this year, according to the National Retail Federation’s annual survey, down from the pre-pandemic high of $1,047 hit in 2019. About 45%, of shoppers plan to use “buy now, pay later” services for their holiday shopping to spread out their expenses. [CNBC]

Cannabis and Banking Vets Launch Credit Card for Dispensaries

Most consumer cannabis transactions are done in cash, legal or not. Since the United States classifies cannabis as a Title IV drug, the banking industry is unwilling and unable to provide services to cannabis operations. That leaves dispensaries managing and protecting massive sums of cash, and the stores cannot offer a modern retail payment system to the consumer. SuperNet will issue and process credit cards that will work in dispensaries. [Tech Crunch]

Debt Collectors Can Now DM You on Social Media

Debt collectors have a variety of ways to contact you, and the Consumer Finance Protection Bureau added a new way for them to reach you: social media. Debt collectors won\’t be able to comment on your posts or write up something for the public to see. But they now can privately message you on social media. The debt collectors must clearly identify themselves, and they also must include a way for you to stop receiving their messages, basically providing a mechanism to opt out. [USA Today]

Priceline Announces New No Annual Fee VIP Rewards Visa Card

Priceline is one of the major online travel agencies used by American consumers to find cheap travel. Consumers can book flights, rental cars, cruises and more, all in one convenient place. And now, Priceline is introducing their own credit card: the VIP Rewards Visa credit card. Once you’re approved for the Priceline VIP Rewards Visa Card, you’re eligible to earn a welcome offer of 10,000 bonus points after spending $1,000 in the first 90 days of card membership. Those points are worth $150 when redeemed for travel through Priceline, or a $100 statement credit. [CNBC]

Klarna Offers Pay Now Option in United States, Klarna Card Coming Soon

U.S. consumers now have the choice to use Klarna’s “Pay Now” service to pay immediately and in full at any online retailer where Klarna is available. Klarna has doubled its customer base to more than 21 million customers. In addition to Pay Now, Klarna will be introducing its Klarna Card to U.S. customers, which will enable them to make interest-free payments in four installments using a physical card format, either in stores or online. [Tech Crunch]

Chase Launches New Air Canada Credit Card with 100,000-Point Bonus

A new airline credit card has officially arrived on the scene. Chase unveiled its new Chase Aeroplan World Elite Mastercard Credit Card, the issuer’s first-ever card tied exclusively to Air Canada. The card replaces the carrier’s previous US credit card, which was issued by TD Bank and discontinued in 2020. Airlines have made an effort in recent years to broaden the bonus categories on their credit cards, and the Chase Aeroplan card is no exception. The new Chase Aeroplan card, with an annual fee of $95, has a number of unique features that could make it attractive even to US consumers who don’t typically find themselves visiting our neighbor to the north. [CNN]

Visa and Mastercard Stocks Are Ailing as Omicron Hits Travel

Visa and Mastercard are looking like early casualties of the Omicron variant of the Covid-19 virus. The big card networks rely heavily on revenues related to cross-border travel as consumers and businesses use their cards for plane tickets, hotels, and car rentals, as well as purchases in foreign countries. Forecasts for revenues and profits may need to come down if the Omicron variant puts the brakes on travel as countries reimpose bans or quarantine rules. [Barron’s]

Mobile Contactless Payments Now Account for One in Three Card Transactions in Russia

Mobile contactless payments now account for just over a third of all card transactions (34%) and just under a third of total card transaction value (31%) in Russia compared with 25% of transactions and 23% of transaction value in 2019-2020. In addition, 45% of mobile contactless payments in Russia were made using Apple Pay, 36% using Google Pay, 15% using Samsung Pay and 4% using other services. [NFCW]