Credit Cards

[JollehRoger]

If Wells Fargo buys the company and then let's Discover Financial Service run as is then I will keep my card. But if Wells Fargo decides to absorb the company then I will be very upset and close my account.

[sgs10]

Hell no. My immediate response would be closing down all my accounts with discover. I hate wellsfargo and they are the most meanest bank ever. They never give s@#t about their customers.

[Uborrow-Upay]

Not disagreeing with any word already said, but business is business. 

If it's good business, (meaning that each corporation's shareholders should see a profit potential for this deal), then it should happen.  Each and every customer-cardholder onboard now is a part of that profit potential picture.  Neither one of these co.'s wants to piss anybody off.

I choose to use both Discover and Wells Fargo cards regularly.  And I'm not on the board of officers of either corporation.

As a customer, I can choose whether or not to continue to use any credit products as I wish.  If I'm unsatisfied, I'll deal with it then.

It's refreshing to know that at least somebody, somewhere, corporate office or not, is at least looking at the numbers needed to make their vision a reality, unlike some of the government people who freely spend my bucks (and yours) with no regard for the economic realities.

[scottwagnon]

Mad!!!!!! nooo!!!!! i like having wells fargo as a bank, but not together with discover financial. that makes me mad. shame on discover for wanting to merge with wells fargo. go with first national bank of nebraska instead.

[LTomBerry]

Keep in mind this is in a Forbes blog called "Great Speculations" so I don't think the idea holds any water. It says a company published a "what-if" research report, it does not say either bank has even thought about it.

[score_building]

AF_23 wrote:

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This is not good whatsoever. I wasnt pleased that Wachovia was swiped up by them either

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+1

[MagicShot]

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LTomBerry wrote:

Keep in mind this is in a Forbes blog called "Great Speculations" so I don't think the idea holds any water. It says a company published a "what-if" research report, it does not say either bank has even thought about it.

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Good Catch!  I am glad its just speculation not actually happening!

[aplast]

I absoulutely hate wells fargo! I have had them for 14 years and they dont want to lend and are difficult to deal with. I love the customer service with discover!

[Revelate]

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JollehRoger wrote:

If Wells Fargo buys the company and then let's Discover Financial Service run as is then I will keep my card. But if Wells Fargo decides to absorb the company then I will be very upset and close my account.

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When we're talking corporate acquisitions, I suspect this would be Wells' best option.

Really I think it makes a great deal of sense; if WF can start pitching Discover products to it's clients, and having an enormous bank might be very, very handy for spreading Discover's transaction network.  Wells probably has a non-trivial amount of business accounts, it wouldn't be hard for them to offer some sweeter deal to their clients in order to get them to start taking Discover cards if they don't today.

Now that the idea has been floated out there publically, Discover is likely to get a couple of offers I'd guess, either Citi or maybe BOFA or even Chase (not sure I see this one) as I'm certain all of them would rather not be paying Amex/Visa/MC the transaction network fee if they didn't have to.

[jsucool76]

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Revelate wrote:

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JollehRoger wrote:

If Wells Fargo buys the company and then let's Discover Financial Service run as is then I will keep my card. But if Wells Fargo decides to absorb the company then I will be very upset and close my account.

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When we're talking corporate acquisitions, I suspect this would be Wells' best option.

Really I think it makes a great deal of sense; if WF can start pitching Discover products to it's clients, and having an enormous bank might be very, very handy for spreading Discover's transaction network.  Wells probably has a non-trivial amount of business accounts, it wouldn't be hard for them to offer some sweeter deal to their clients in order to get them to start taking Discover cards if they don't today.

Now that the idea has been floated out there publically, Discover is likely to get a couple of offers I'd guess, either Citi or maybe BOFA or even Chase (not sure I see this one) as I'm certain all of them would rather not be paying Amex/Visa/MC the transaction network fee if they didn't have to.

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They would still be paying discover the transaction fee for cash flow purposes, otherwise they would just have to funnel money into discover some other way. Imagine if lets say chase bought discover, and issued all their customers new discover cards and DFS didn't get ANY of the transaction fees on those cards, they would die. Sure it is just money funneling from one part of a company to another, but yeah