Aspire Visa Joke!!!!

Discussion in 'Credit Talk' started by EdG, Sep 25, 2002.

  1. EdG

    EdG Well-Known Member

    Anyone get an Aspire Visa pre-approval in the mail lately? Well I got one yesterday... Credit line up to $3250, $85 yearly fee, 29.75% rate, 35% default rate. I got a great laugh out of this one. Maybe I'll get rid of the cards I have now @12% & 10K loc.. Hmmm.

    No offense meant to anyone who has this card. I would have jumped at it 3 years ago. Thank goodness for Capital One though.

    EdG
     
  2. racer7949

    racer7949 Well-Known Member

    I haven't received that offer, but you bring up an interesting point about time lag. I've noticed that offers I've received have lagged one to two years behind my current credit situation.

    Probably someone pulled a promo soft on you three years ago and categorized you based on your credit report at that time. They then resold your name/address information on a list of people grouped into that category. Even though you have "moved on" credit wise, someone's still working off that old mailing list.

    I think that's why you usually receive far more offers in the mail than the number of soft promo inquiries on your report, they resell the lists.

    So credit card companies make money even if you don't accept the offer. Let's say they pay the CRA $5 per person for a soft. It costs them $2 per person to mail an offer. Then they resell the list at $3 per name five times for revenue of $15 per name. (Note that the person buying the list saves $2 per name over doing a soft themselves.) Subtract 25% for overhead and the direct costs above and that leaves $6 per name. If they have a list of a million names that's six million dollars for doing.... what. (BTW, these numbers are just guesses, but that's the basic premise of how to make money with mailing lists; and also how they can afford to send out so many offers for credit cards, even though the response rate is less than 1% and the approval rate is even lower than that.)
     
  3. cibomatto

    cibomatto Well-Known Member

    3 or more years ago I would of fell for that one and probably got into way more trouble. Thank goodness for the Cap1 Secured card, and thank goodness for me learning the hard way of using credit wisely. I have received a similar offer with a different company. I shredded the offer and mailed it right back to them.
     
  4. dario1979

    dario1979 Well-Known Member

    Didnt they stop offering this card and start issuing GetSmart Visa in its place?
     

Share This Page