> $20B in revenue Visa generated last year, of which it generated a ~50% profit margin.
I was sure this couldn’t be right... but it absolutely is.
https://s1.q4cdn.com/050606653/files/doc_financials/2018/q4/...
Re:Credit cards have a privacy problem
by lotsofpulp on Tuesday August 27, 2019 @03:43AM
(#20807147)
Why wouldn’t it be massive? Infinitely scalable business getting a % of each and every transaction at no marginal cost. It’s basically a tax, there isn’t a better business model out there.
They don’t even take any risk lending money, just a % fee for owning the network, that one has to be on to do business with most people with money nowadays.
Re:Credit cards have a privacy problem
by ilikehurdles on Monday August 26, 2019 @10:07PM
(#20805718)
And by keeping the churners happy, they might recruit some real losers to the platform by word of mouth!
Because, churners, are a very small portion of the 20B in revenue Visa generated last year, of which it generated a ~50% profit margin.
The system works so well already, why rock the boat by closing the accounts of a few thousand individuals? It would probably cost more to enforce any such rule than they lose in revenue.