AmEx Hates Wal-Mart Shoppers
Jan 29th, 2009 by Carlos
I was watching Good Morning America yesterday morning and a very disturbing story about credit cards came on.
It featured Kevin Johnson, a responsible credit-card user that had recently seen the limit on his American Express Blue card go down by $7,000. What could possibly cause AmEx to lower his limit when he pays his card in full every month, has a 764 FICO score, and owns his own business?
The answer? Behavioral analysis.
Turns out credit-card companies are using psychology to determine who is worthy of their credit and who is not. The story went on to say that behavioral analysis was probably the factor behind the lowering of Kevin Johnson’s limit.
But what changed about his shopping behavior that merited this huge drop in credit?
The answer: Kevin Johnson had recently visited a Wal-Mart that he doesn’t typically go to, and the reason AmEx gave him was:
“Other customers who have used their card at establishments where you recently shopped have a poor repayment history with American Express.”
So this is what we’ve come to: now you can be punished for other people’s behavior if you shop at the same places they shop.
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The hatred for Walmart baffles me to know end. These credit card companies need to deal with pay back only, not where people shop.
Jo, it’s really very creepy. I mean, at this rate who knows what other stuff they’ll start “considering” to screw with our credit…whether we exercise or not?
How often nowadays do you walk into a store to buy something, and before you know it, they are ringing you out and offering you an easy to get credit card for their department store? How often do you get upset? how often do you do it? Well I have news for you, It’s time to start!
Imagine, you go to Macy’s and buy that nice zip up Polo hoddy you’ve eyeing waiting for it to go on sale…today it’s 20% off! perfect. you go to the register and they offer you an additional 20% off just for signing up for their easy to get credit card and using it on your purchase. now let’s face the facts, yeah it might take you 10 minutes, but where do you have to be, you’re out shopping, REMEMBER?!
I recommend you start accepting these deep discounts that you receive with these easy to get credit cards from department stores. stop wasting money and start wasting minutes, literally!