🗳️ ELECTION 2024: THE MSE LEADERS' DEBATE Got a burning question you want us to ask the party leaders ahead of the general election? Submit your suggestions via this form or post them on our dedicated Forum board where you can see and upvote other users' questions. Please note that the Forum's rules on avoiding general political discussion still apply across all boards.

Now we know why Barclaycard recently signed a deal to issue Amex cards...

Options
OllyM
OllyM Posts: 370 Forumite
First Anniversary
edited 20 September 2013 at 6:16PM in Credit cards
I was sent a link to a survey today by Barclaycard, and it seemed to be about this mainly:

lHPXTtS.png
pyRDEpQ.png

Sounds great but I don't see the point - lots of the questions were about how I'd feel if they replaced my current Barclaycard with these two cards. I hope they aren't planning on replacing my ex Egg Money Mastercard because I only use it where Amex isn't accepted anyway, so effectively they'd be cutting the cashback rate in half.
«13

Comments

  • guesswho2000
    Options
    OllyM wrote: »
    I was sent a link to a survey today by Barclaycard, and it seemed to be about this mainly:




    Sounds great but I don't see the point - lots of the questions were about how I'd feel if they replaced my current Barclaycard with these two cards. I hope they aren't planning on replacing my ex Egg Money Mastercard because I only use it where Amex isn't accepted anyway, so effectively they'd be cutting the cashback rate in half.

    Indeed, for you it's not such a good deal, however this is more for Barclaycard's benefit - they'll love this, higher interchange on the Amex for, essentially, the same as they're offering now.

    And I shyed away from their Cashback card because of the (fair enough, small) annual fee. I'd go for this one, though - the one thing they're missing is no forex fee - it'd have the potential to replace my Nationwide Select then!
  • brendon
    brendon Posts: 514 Forumite
    Options
    Actually I think it's to do with the expected EU legislation which caps interchange rates. Most of the cashback you receive actually comes from the fee paid by the merchant. Visa and MasterCard are four party systems -- the interchange fee goes to the bank, "Visa" and "MasterCard" are essentially just brands. American Express is a three party system and collects the interchange fee itself. I think there is a loop-hole whereby Amex is not covered by the legislation.
  • Maestro.
    Maestro. Posts: 1,518 Forumite
    Options
    I'm not sure id benefit much from this over the existing card as a lot of my cashback comes from the bigger purchases which are at 1.5%. Furthermore, being in a small town a lot of shops here probably doesn't know what an Amex card is, so the 0.5% would be ever looming.

    I hope they do introduce it as a new product and don't forcibly change the existing one.
    Oh, you wee bazza!
  • reclusive46
    reclusive46 Posts: 2,698 Forumite
    edited 20 September 2013 at 7:14PM
    Options
    Maestro. wrote: »
    I'm not sure id benefit much from this over the existing card as a lot of my cashback comes from the bigger purchases which are at 1.5%. Furthermore, being in a small town a lot of shops here probably doesn't know what an Amex card is, so the 0.5% would be ever looming.

    I hope they do introduce it as a new product and don't forcibly change the existing one.

    I wouldn't be worrying about the small shops as most of them use Barclaycard merchant services and over the last few months Barclaycard has practically forced/bribed their merchants to start taking it. You'll start to notice stickers soon with all 3 logos on rather than Visa/MC sticker and a seperate Amex one on (Some merchants now already have them) as Amex becomes part of the standard package for Barclaycard merchant offerings (With a slightly higher fee ofcourse).

    I was talking to a family member who takes card payments and he's always taken Amex but he was recently told in his new agreement that he would only get the 1.5% processing rate (For Visa/MC) if he took Amex. It would go up by about 1% if he didn't.
  • Usa2012
    Usa2012 Posts: 148 Forumite
    edited 20 September 2013 at 7:27PM
    Options
    I don't want to sound thick but why would you want two cards? What's the point exactly? I Assume the same credit limit applies to both?
    Just don't understand the point of carrying two cards for the same account??
  • OllyM
    OllyM Posts: 370 Forumite
    First Anniversary
    Options
    Usa2012 wrote: »
    I don't want to sound thick but why would you want two cards? What's the point exactly? I Assume the same credit limit applies to both?
    Just don't understand the point of carrying two cards for the same account??

    Because one will earn twice as much cashback as the other? It's quite common, most MBNA airline cards are issued as an Amex and Visa combo and the Amex earns 2x the rewards of the Visa.
  • B19JON
    B19JON Posts: 164 Forumite
    Options
    shame the cashback is pretty low.
    Looks like the original cashback card has been pulled from the site.
  • Usa2012
    Usa2012 Posts: 148 Forumite
    Options
    OllyM wrote: »
    Because one will earn twice as much cashback as the other? It's quite common, most MBNA airline cards are issued as an Amex and Visa combo and the Amex earns 2x the rewards of the Visa.


    Is it not just a gimmick ? Surely just offer a cash back % on one card?
    Obviously people will just use the one that gives the most back anyhow? Just seems weird having two different cards for one account.
  • Jcts
    Jcts Posts: 48 Forumite
    Options
    Usa2012 wrote: »
    Is it not just a gimmick ? Surely just offer a cash back % on one card?
    Obviously people will just use the one that gives the most back anyhow? Just seems weird having two different cards for one account.

    The Visa card is like a back up card if you will, for when Amex is not accepted.
  • Maestro.
    Maestro. Posts: 1,518 Forumite
    Options
    B19JON wrote: »
    shame the cashback is pretty low.
    Looks like the original cashback card has been pulled from the site.

    So I see! I wonder if that means is getting converted to Amex/visa then.
    Oh, you wee bazza!
This discussion has been closed.
Meet your Ambassadors

Categories

  • All Categories
  • 2 Election 2024: The MSE Leaders' Debate
  • 343.8K Banking & Borrowing
  • 250.3K Reduce Debt & Boost Income
  • 450K Spending & Discounts
  • 236K Work, Benefits & Business
  • 609.1K Mortgages, Homes & Bills
  • 173.4K Life & Family
  • 248.6K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards