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Barclaycard Sells $1.6 Billion in Risky Credit-Card Balances to Credit Shop

Member

Barclaycard Sells $1.6 Billion in Risky Credit-Card Balances to Credit Shop

Barclay news from a Wall Street Journal article:

 

https://www.wsj.com/articles/barclaycard-sells-1-6-billion-in-risky-credit-card-balances-to-credit-s...

 

Looks like some Barclay customers are in for a surprise. Most of the sold balances were not in default.

 

 

 

Ch7 Filed Aug 2015
Discharged Nov 2015

Starting FICO 8 Dec 2015 (EQ 589 Tu 538 Ex 560). Current Fico 8 Feb 2017 (EQ 685 TU 671 EX 667).
Cap One Venture WEMC $15K CL, Cap One QS Siggy $18K.CL, Cap One QS MC $7,500.CL, Discover IT $4,500. CL, Barclay CF WMC $4,000.CL, Toyota Rewards $3,000. CL.
Message 1 of 8
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Regular Contributor

Re: Barclaycard Sells $1.6 Billion in Risky Credit-Card Balances to Credit Shop

The article says that cobranded Barclay cards (i.e. JetBlue, NFL, American Airlines) will not be sold.  What non-cobranded Barclay cards are out there?  The only one I've ever heard of is the Ring.  

Current scores high 600s on EX/EQ/TU.

Amex Platinum NPSL - NFCU Platinum $17,900 - Chase Ritz $14,000 - PenFed Promise $5000 - Synchrony PayPal MC $5000 - Barclay AA $4000 - Merrick Bank $2400 - USAA Amex $2000 - Local CU Visa Classic $1600 - Cap 1 $1650 - Amex Delta Gold $1000 - Chase Freedom Unlimited $500 + several store cards.
Message 2 of 8
Super Contributor

Re: Barclaycard Sells $1.6 Billion in Risky Credit-Card Balances to Credit Shop

Nice find! Now all the naysayers on this forum can say "we told you so". You subprime borrowers (what ever that is defined as?) may find your new home with Credit Shop ( a non-bank lender) located in Texas. Seems Barclays has been busy overseas (Spain Portugal and others Countries) shedding banking business since the fall of 2016. My question is? Should I close my Barclays accounts as I don't want to be held by a subprime lender (however that is defined?).
Starting Score: 807
Current Score: 828
Goal Score: 850


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Message 3 of 8
Member

Re: Barclaycard Sells $1.6 Billion in Risky Credit-Card Balances to Credit Shop

Currently, Barclays offers the Arrival Plus & Cash Forward as well as the Ring as Barclay cards. The Rewards card I believe is no longer offered as a new app.There are a host of Barclay co-branded cards:

 

https://home.barclaycardus.com/cards.html

 

Not all of their co-branded cards are listed here. LL Bean is a co-branded example.

 

Hope this helps.

Ch7 Filed Aug 2015
Discharged Nov 2015

Starting FICO 8 Dec 2015 (EQ 589 Tu 538 Ex 560). Current Fico 8 Feb 2017 (EQ 685 TU 671 EX 667).
Cap One Venture WEMC $15K CL, Cap One QS Siggy $18K.CL, Cap One QS MC $7,500.CL, Discover IT $4,500. CL, Barclay CF WMC $4,000.CL, Toyota Rewards $3,000. CL.
Message 4 of 8
Member

Re: Barclaycard Sells $1.6 Billion in Risky Credit-Card Balances to Credit Shop

I forget about the Barclay "Luxury" cards- Titanium, Black and Gold.

 

http://www.luxurycard.com/

 

 

Ch7 Filed Aug 2015
Discharged Nov 2015

Starting FICO 8 Dec 2015 (EQ 589 Tu 538 Ex 560). Current Fico 8 Feb 2017 (EQ 685 TU 671 EX 667).
Cap One Venture WEMC $15K CL, Cap One QS Siggy $18K.CL, Cap One QS MC $7,500.CL, Discover IT $4,500. CL, Barclay CF WMC $4,000.CL, Toyota Rewards $3,000. CL.
Message 5 of 8
Valued Contributor

Re: Barclaycard Sells $1.6 Billion in Risky Credit-Card Balances to Credit Shop


Dinosaur wrote:
Nice find! Now all the naysayers on this forum can say "we told you so". You subprime borrowers (what ever that is defined as?) may find your new home with Credit Shop ( a non-bank lender) located in Texas. Seems Barclays has been busy overseas (Spain Portugal and others Countries) shedding banking business since the fall of 2016. My question is? Should I close my Barclays accounts as I don't want to be held by a subprime lender (however that is defined?).

From what I understand, Barclays just sold the debt but the cards will still remain intact and serviced by Barclays. There is no transferring of cards accounts to Credit Shop.

 

 

Message 6 of 8
Super Contributor

Re: Barclaycard Sells $1.6 Billion in Risky Credit-Card Balances to Credit Shop


AtTheBeach wrote:

Barclay news from a Wall Street Journal article:

 

https://www.wsj.com/articles/barclaycard-sells-1-6-billion-in-risky-credit-card-balances-to-credit-s...

 

Looks like some Barclay customers are in for a surprise. Most of the sold balances were not in default.

 

 

 


Fascinating.

 

1. Here's a non-paywalled link to a story on the subject:

http://news.google.com/news/url?sr=1&sa=t&ct2=us%2F0_0_s_1_0_t&usg=AFQjCNEgKdACxDN_0jVjBAgCzlmykawIr...

 

2. I wonder what the criteria are for "subprime" balances

 

3. This might explain why I was unable to get an interest rate reduction on my Barclay Rewards card last year. That was probably one of the cards where most of the "subprime" balances were.

 

4. I wonder whether, and if so how, this will affect the account holders, both those whose balances are considered "prime", and those whose balances are considered "subprime".

FICO8 EQ 721 TU 772 EX 769 Total revolving credit 500k
Message 7 of 8
Highlighted
Valued Contributor

Re: Barclaycard Sells $1.6 Billion in Risky Credit-Card Balances to Credit Shop

Id be interested to know #4 as well and who's credit card balances/debt got sold.

 

 

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