Credit card company rejects customers with too-good credit scores

Re:Credit card company rejects customers with too-good credi... by Aaronontheweb on Friday June 25, 2010 @06:11PM (#1462353)

Do responsible customers actually cost the credit card companies money or do they just not bring in any revenue to speak of?

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Re:Credit card company rejects customers with too-good credi... by ars on Friday June 25, 2010 @07:11PM (#1462523)

They are borrowing money each month, without paying interest on it, so it does cost the credit card companies money.

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Re:Credit card company rejects customers with too-good credi... by Aaronontheweb on Friday June 25, 2010 @07:17PM (#1462538)

Losing money in its time-value. Gotcha.

Edit: I thought they still made money off of the vendor fees though?

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Re:Credit card company rejects customers with too-good credi... by ars on Friday June 25, 2010 @07:29PM (#1462581)

They do yes. Between 0.5% and 3%.

It costs them some money to process an account though, send bills, handle payments etc. If someone is charging reasonably frequently then they are still profitable.

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