*UPDATE* Blispay No Longer Accepting Applications

[UncleB]

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@pipeguy wrote:

Hello Diners Club MasterCard..... same thing, slightly different excuse and as far as I know they STILL have not reopened applications 18 months later. 

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My fingers are crossed that this is only temporary for a back-end 'tweak' of some type, and that they'll continue taking applications in the near future. 

Unlike Diners, this would actually be useful to me... I just wasn't ready to app just yet (I'm a few months off). 

If this does in fact end up like Diner's, I'll be kicking myself later on. 

[Anonymous]

Oh well.  I'm still waiting on my 7 - 10 day letter. Looks like I'll be waitng a long time.  As previously posted the application was just a whim so I am not terribly disappointed. Maybe it was a good thing.

Good luck to all who did get an approval before they bowed out.

[pipeguy]

Looking at the people that started this thing and their history I think they understand the game-goals-potential, but I think they might be thinking they are the next PayPal or sorts and their seed leverage funds ran out quickly. Comenity and GE/Sync makes a lot of money on prime and sub-prime private label credit cards both store and co-branded Visa/MC (which I suspect cost them more using Visa/MC agreements). Paypal was a hybrid that took a "skim" off every transaction outside of normal credit card operations and yes Paypal transformed several times from hybrid to somewhat mainstream but you have to admire the very large revenue stream Paypal made out of nothing other than a new idea.

I think Blispay is thinking to take the best of both models 2% card, fairly high 20% APR but under the typical Comenity/Sync rate, and add the Amazon/CareCredit/Walmart/GolfSmith model of 6 months same as cash. It's a nice model looking at what customers like in all these cards, but I think they are seriously underfunded as a startup, that is until they start the securitization of their accounts recieveable - right now their issued customer credit lines are their exposure without the leverage of what's actual accounts receivable numbners that can be sold as high interest bonds. 

At least with Diners MC they were backed by a real bank, and even the NASA CU rush was backed by a real credit union (IMO a weak one, but thats another discussion). Would not surprise me to see Blispay establish itsself, maybe with additional funding, for 6-12 months and then be sold to another better funded enity, thus making the founders a bunch of cash as they walk away - sans paypal, et al. 

[Anonymous]

pipeguy wrote:

I think they are seriously underfunded as a startup, that is until they start the securitization of their accounts recieveable - right now their issued customer credit lines are their exposure without the leverage of what's actual accounts receivable numbers that can be sold as high interest bonds. 

At least with Diners MC they were backed by a real bank, and even the NASA CU rush was backed by a real credit union.

Would not surprise me to see Blispay establish itself, maybe with additional funding, for 6-12 months and then be sold to another better funded enity, thus making the founders a bunch of cash as they walk away.

humuhumunukunukuapua'a wrote:

+1

[baller4life]

Not another one!!!

[Anonymous]

Fido Jones was just approved for a $12,000 Blispay credit line yesterday.

[Blodreina]

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@baller4life wrote:

Not another one!!!

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Nothing has happened.  They stopped taking new applications due to volume.  And they weren't just approving anyone with a pulse; there were quite a few denials, most of which seemed to be those with scores below 690 or 700.

[pipeguy]

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@Falere wrote:

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@baller4life wrote:

Not another one!!!

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Nothing has happened.  They stopped taking new applications due to volume.  And they weren't just approving anyone with a pulse; there were quite a few denials, most of which seemed to be those with scores below 690 or 700.

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We'll see.....

Shades of Critter Cards, Diners MC, NASA, et al.

[Anonymous]

I think it's a bit of a concern when a lender does not ask anything about income or job information, as quite a few seemed to indicate.

[kdm31091]

Well that lasted even less time than I thought it would.