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Discussion in 'Credit Talk' started by joyboy, Oct 27, 2000.
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I deal directly with a credit card issuer and we had a conversation yesterday about the retention department which he used to supervise. He told me that there is a goal each day to keep a certain number of accounts that are profitable for the bank. They have a model of your spending habits and rate you on a "profit score". They are more willing to reduce interest rates than credit the annual fee because the fee is a "constant" in revenues whereas the APR is adjustable. If you do not fall within their profit score, they are willing to let you go. Just a little insight.