wrote:They also seem to like a sizable balance being paid off over time... even at 0% apr... or 0% on new purchases for 12 mos...
Might want to consider using Disco for a BT or so if you need one....
Ha I just pushed $1360 and change from my bank account to zero the card before the statement cut. Wonder if that further pushes me into the red with them. 
wrote:The other thing that most folks do not realize is that transactors may not be as profitable or a target audience but they tend to stablize their account portfolio... because transactors tend not to default.. and the cc companies know this... so it still is in their best interest to throw these folks a carrot every once in awhile.... Should also look on here for threads regarding Asset Backed Securities... it will explain some of their behaviors......
It's funny because Discover's charge off rate has been on the rise throughout 2017, and they still don't seem to understand why other lenders target transactors instead of "prime revolvers". I get the ABS bit but it can't be good business if you're actually losing money with each swipe due to the 5% CB. Then again as BBS pointed out, only a tiny minority uses their card just for the 5%, and they've likely factored that in already. Still no excuse to treat transactors (and more broadly speaking, responsible borrowers) poorly though. In fact I'm going to persistently argue this point when I call the backdoor number after the 3rd statement cuts.
wrote:
wrote:The other thing that most folks do not realize is that transactors may not be as profitable or a target audience but they tend to stablize their account portfolio... because transactors tend not to default.. and the cc companies know this... so it still is in their best interest to throw these folks a carrot every once in awhile.... Should also look on here for threads regarding Asset Backed Securities... it will explain some of their behaviors......
I have read the thread regarding Asset Backed Securities. And I have read about revolvers vs transactors. So I should not be suprised at my situation with Discover. I will see if I can get my card up to 5K and call it a day with them. I do like that cash back can be deposited to bank account via ACH and for that reason I will keep it and use it for the 5% cash back on the restaurant's. Sock drawred until then. Heavy spend will go on other cards.
With the exception of the restaurant quarter, I'm pretty sure I can easily max out the $1500 cap on all other quarters whether through organic spend or "deferred future spending". 
I think what I'm gonna do for the restaurant quarter is to eat out in large groups a lot more frequently, then offer to put the whole tab on my card and collect cash from other people to try to run it up as close to $1500 as possible.
I think what I'm gonna do for the restaurant quarter is to eat out in large groups a lot more frequently, then offer to put the whole tab on my card and collect cash from other people to try to run it up as close to $1500 as possible.
My resturant/bar spend will be the only spend they get from me.
I'm in my first year so I get 10% cash back in the right categories each quarter. So there's a lot more incentive for me to max out the cap.
Approved in December 2017 for $8000. It's my everyday card as it matches this year.
Cheers, everyone!
