Why do Americans get WAY better CC deals than us?

2ilent8cho

Ergates wrote: »

Should be easy to give lots of examples then.

I mean, real examples, not just Daily Mail quotes.

Having to click 'I accept' on every bloody web page now comes instantly to mind.

Tim_tothepoints_

This is a very valid question - the reward card system in the US does offer some ridiculous deals. It's far easier to get all sorts of benefits via your card, including hotel status, massive points bonuses, airmiles, credits, etc.

Like others have suggested this probably comes at a cost though. For example, I often hear that some of the status benefits (like top hotel tiers) are devalued in the US, because they're so easy to get. Likely the level protection of protection and fees is also lower, so what you gain in one hand you lose in the other.

I've been thinking this would be an interesting subject to team up with a US points and rewards blogger to explore - maybe I should start investigating!

Chino

Tim_tothepoints_ wrote: »

maybe I should start investigating!

Maybe you could start by translating the phrase "I often hear that some of the status benefits (like top hotel tiers) are devalued in the US" into English?

dealer_wins

Ergates wrote: »

Should be easy to give lots of examples then.

I mean, real examples, not just Daily Mail quotes.

Many reasons, from hoover power, lightbulbs, fruit size and shape, and ermmm the small issue of immigration of undesirables!!

Tim_tothepoints_

So friendly in here!

So... in the US one of the benefits of a number of CC deals is access to top tier status with Hilton, Starwood, etc. These are much easier to access than in the UK, in fact Hilton Gold can be achieved with a $95 a year card - in comparison in the UK the only current option would be Amex Platinum at £450. This status gives access to upgrades, perks on hotel stays.

However, as a result it has been suggested that whilst the benefits are supposed to be equivalent internationally, they don't mean as much in the US as pretty much everyone has them - thus Gold becomes pretty much standard and upgrades, etc. are less likely.

Hope that's a sufficient translation.

aleph_0

chattychappy wrote: »

People think it's great that places can't surcharge for taking credit cards. But suddenly you lose the option of getting a discount for cash. And people have lost the option to pay their HMRC tax bill by personal credit card.

Agree, it would have been better if the rules were allowed to pass on costs only (at least for credit cards), preventing the problem of places no longer accepting.

But, paying cash - given how low merchant fees are in practice (thanks to the EU), any significant discount is likely to suggest it's provided by book-fiddling, I'd see it as an overall gain that this is prevented.

redux

Do American cards have long timespans on balance transfer and spending offers without interest?

Two years without interest here might be better value than a 2 or 3 per cent point collecting discount.

Weybridge78

redux wrote: »

Do American cards have long timespans on balance transfer and spending offers without interest?

Two years without interest here might be better value than a 2 or 3 per cent point collecting discount.

I've just had a quick look at Barclaycard US. Out of their 22 credit cards, only one is a balance transfer card with 0% for 15 months. All of the others are reward cards with what seem to be very generous bonuses. Whereas in the UK, their main range is balance transfer cards.

bris

beany_bot wrote: »

Basically way better than what we get. What gives? Is this because of EU rules? And if so will it get better post Brexit?

Yes of course. When we leave the EU Britannia will rule the waves again.
We will take back the USA and restore all our empire. Then we will get the best CC deals ever.

Nasqueron

dealer_wins wrote: »

Many reasons, from hoover power, lightbulbs, fruit size and shape, and ermmm the small issue of immigration of undesirables!!

Hoover power = myth, daily heil headline playing on scientific ignorance of consumers not knowing lower power doesn't automatically mean less suction. A 900w limit is more than most modern vacuums have e.g. the Henry model is about 620w or the Hoover Vortex Upright Turbo is 750w. Cordless are typically about 500W. None of the top rated vacuums in the Expert Reviews website are over that


Lightbulbs = common sense, the old style lightbulbs were inefficient and bad for the environment (as were the early energy savers), whether EU or UK government, consumers sometimes need the stick to change. Modern LED energy savers are as good as old filament style


Fruit size / shape = another EU myth, supermarkets didn't sell wonky fruit because consumers didn't want it, not because of EU law. Supermarkets are now selling the wonky stuff in the economy ranges (note - we're still in the EU)


Undesirables = yes, well aware 1/3 of leave voters voted that way to stop foreigners coming in, EU migrants average around £1.20 in contributions to the economy for every £1 of benefits they get (including stuff like NHS, not just being given cash). The flag waving nationalists will always complain about immigration as they've been indoctrinated by the likes of the Mail and Express. In reality the UK needs more migration unless the people here reverse the decline in the number of babies because we don't have enough people at the start of working age to continue funding all the pensioners who, ironically, mostly voted leave.



Back to credit cards of course...