Cap-1 shouldn't be referred to as a sub-prime lender per se...
I'm fairness to them, they aren't Credit One or 1st Premier or anything....it's fair to say they have a larger footprint, including a high risk division.
Unlike some of the actual banks ( yeah I know Cap has a token bank) Cap-1's business model is invested totally different in CCs than say a Chase or a Citi, that bleeds $$ in oh so many different ways.
Cap-1 grabs market share w/o the benefit of actual banking relationships , so for them to own more than 10% of the US market is quite impressive.
Considering the 3 issuers above them
Citi, Chase and BoA all are actual brick N mortars
which give them HUGE historical advantages in building those relationships to milk.
I should note, I'm speaking of amount of outstanding balances... basically the money their waiting to collect, when I mention numbers, not actual cards themselves.
Anyway Cap-1 has the luxury to a degree to cast a wide net in both directions up the scale and down, because they don't have the infrastructure issues of other issuers and they laugh to the bank no pun
They are owed $81B with a market share behind only the big 3 but ahead of AmEx and Discover....
More than Wells, Barclays or US Bank combined
I think they are doing just fine
Ppl pay attention to what they want and build judgements on more marketing and hype than fact,
Cap-1 is more diverse than most might think and it'd be very hard for the 2 biggest issuers of cards and debt holders in America to only have dealings with the primest of prime
Cap 1 has to advertise and promote differently to reach and move the public , whereas the big 3 has em walking in and has their paychecks deposited every 14 days....much different playing field so a different persona emerges no matter the truth.
