Blispay Suspending future purchases

[Anonymous]

Damnit. I was going to pay my property taxes with that since they don’t take AX.

[Pikaboo-icu]

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@Anonymous wrote:
Damnit. I was going to pay my property taxes with that since they don’t take AX.

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I believe I've read you can register for Plastiq and pay your property taxes with your AX via that service..

If you find it worth it to go thru those hoops.. 

[Anonymous]

AX doesn’t offer 6mos float either lol.

[Kevin86475391]

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@core wrote:

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@CreditInspired wrote:
Just thinking out loud. I wonder if their next step is to start doing CLD on card holders with large unused CLs, or Cards with large balances, which could cause maxed out cards

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Does not compute for me.  If CLDs magically solved the situation I would think they would have done that a few miles back before it came down to this. 

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I believe reducing people's credit limits will look better on their balance sheets as it reduces their potential (though not actual) liabilities. Being on the hook for $200 million with a potential additional exposure of $800 million is different from just being on the hook for $200 million with no additional possible exposure. Just making up the numbers obviously as I have no idea how much they actually have in total outstanding balances or extended credit limits.

[core]

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@CreditCuriosity wrote:

Funny thing is isnt one of the founders of this company one of the founders of BML or paypal credit?

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He worked for BML and then Paypal Credit later on, but as far as I know he didn't start either of them.  Worked for MBNA too.  Do a google image search for Greg Lisiewski if you want to see what a Wall St. Fat Cat looks like.  He's smiling all the way to the bank I'm sure.

[Physh1]

I just got this email too. Wasn't this card backed by TD Bank (the same ones who back the Target cards)? Wonder if something happened there...

I liked the card...made big purchases I could float over 6 months with no extra fees. Wonder if it has backfired with them & the transacation fees alone weren't enough to keep floating.

[Anonymous]

I just used my card last night at WalMart.  Bought a Vizo soundbar and subwoofer for $107.  I think it's the 6 month, 0% financing that has hurt this card.  Also, when it was announced how they had begun reporting to one bureau, several members here stated their cards were maxed out.  Maybe they just weren't mean enough/intimidating enough to their customers.  I never had a problem with any purchase.  A $50 payment didn't seem to bother them.

I hope they get things worked out because I like my card.

[MASTERNC]

Definitely disappointing, and the timing is terrible, but the timing is probably deliberate. Most people (myself included) probably only used the cards for big purchases and paid off before the interest kicked in. This becomes more valuable as interest rates rise (think Blispay had a fixed rate). Paying 2% on top of that eats into profit from interchange, which isn’t supplemented by much interest income. Activity probably picks up around Black Friday, so they stopped now to avoid a funding crunch.

Coincidentally my Citi Dividend card did send a 0% purchase offer for the next six months, but it was after I had already made a major purchase at Best Buy. Was planning to pay in full anyway but would have been nice.

[CreditCuriosity]

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@core wrote:

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@CreditCuriosity wrote:

Funny thing is isnt one of the founders of this company one of the founders of BML or paypal credit?

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He worked for BML and then Paypal Credit later on, but as far as I know he didn't start either of them.  Worked for MBNA too.  Do a google image search for Greg Lisiewski if you want to see what a Wall St. Fat Cat looks like.  He's smiling all the way to the bank I'm sure.

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I know elan musk was one of the founders of paypal but thought their were several and he was included but certainly could be wrong.. Just knew he was associated somehow with them.  Thanks for clearing that up

[DantGwyrdd]

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@Kevin86475391 wrote:

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@core wrote:

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@CreditInspired wrote:
Just thinking out loud. I wonder if their next step is to start doing CLD on card holders with large unused CLs, or Cards with large balances, which could cause maxed out cards

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Does not compute for me.  If CLDs magically solved the situation I would think they would have done that a few miles back before it came down to this. 

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I believe reducing people's credit limits will look better on their balance sheets as it reduces their potential (though not actual) liabilities. Being on the hook for $200 million with a potential additional exposure of $800 million is different from just being on the hook for $200 million with no additional possible exposure. Just making up the numbers obviously as I have no idea how much they actually have in total outstanding balances or extended credit limits.

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Well they just cut all their potential liabilities by cutting off usage for everyone, so not much use in CLDing now. CLDs may be in store if they bounce back, but I think that would be a bad move at this point with the potential to lose them a bunch of clients (and I'm sure this move on its own will lose them some cardholders).