Saturday, January 19, 2008

Banking Concept: Universal Reward Credit Card

Hello All,

How many of you have a branded credit card from a bank that offers a reward program associated with it? Be it a VISA, Mastercard, AMEX, Discover, etc... bank offered credit card.

Well how about for an annual fee of around $80 US paid in one payment to your bank. Where your bank offers you a "Universal Reward Credit Card". What this means is you as a customer can select up to 12 reward programs that are cross-branded from various outlets. Be it from a gasoline station to an online service like MyPoints for frequent shoppers.

So instead of your regular reward program credit card that rewards you per transaction. A "Universal Reward Credit Card" can have up to 12 cross-branded reward programs on board. Upon sign-up the customer merely selects from a list of a few dozen reward programs. Once those 12 are selected for example they are associated with your "Universal Reward Credit Card". But if the customer decides to toggle out one reward program for another there can be a one time courtesy period to do so. After that a minor fee can be charged when a customer decides to switch a reward program for another outside the grace period.

Picture a customer using their "Universal Reward Credit Card" where on board of such a credit card are 12 reward programs. So that each transaction the customer gets a dozen different reward program transactions upon usage. Instead of the typical one transaction reward program credit cards that exist today.

So for consumers that are on the go, your "Universal Reward Credit Card" can keep pace with you. For those customers that use their bank offered credit card frequently the member annual fee pays for itself. From all the accrued reward member programs associated with such a singular credit card.