How Credit Cards Work In The U.S. | CNBC Marathon
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- Опубликовано: 28 апр 2024
- CNBC Marathon takes a look at how credit cards work in the U.S., including major industry players like Visa, Amex, and Discover.
$6.7 trillion. That is how much Americans spent using their debit or credit cards in 2019. More than 60% of those purchases were made using cards from Visa, a company that has long dominated the payment card industry. As payment cards become more essential in our daily lives, Visa has quickly grown to become one of the most valuable companies in America. So how exactly does Visa make money and why does it dominate the payment card industry?
Clarification: The 10% mentioned in the video at 12:30 refers to 10% of the average 2.2% of the swipe fee charged to merchants.
And armed with impressive rewards and a loyal customer base, Amex has achieved impressive growth over the years. The company’s revenue has increased over 32% since 2017 and shares of the company have shown resilience and growth in a tumultuous market. Yet Amex is far from dominating the credit card industry compared to the likes of Visa and Mastercard. So what is the secret to Amex’s success and where is it headed next?
Credit scores, which represent how likely a person is to pay his or her bills, affects almost every aspect of an American’s financial life. One key benefit built into the credit scoring system is its nondiscriminatory practice of using just numbers to determine a person’s creditworthiness. “Credit scoring when it was first developed was an advancement,” said Chi Chi Wu, staff attorney at the National Consumer Law Center. “It is better than having some banker sit across from you and judge you and read the information in your credit report, because they bring a lot of their subjective analysis and their own life experience into the analysis.” But despite the good intentions of credit report companies, many experts argue that the current system is still discriminatory.
Lastly, Discover is one of the largest credit card issuers in the U.S. and consistently tops a customer satisfaction survey. However, the stock has mostly underperformed that of the S&P 500 and its credit card competitors. So how does Discover stack up to its competitors and what’s unique about its business model? Watch the video to find out.
Chapters:
00:00 - Introduction
00:38 - How Visa Became The Most Popular Card In The U.S. (Published October 2021)
14:42 - Why Wealthy Americans Love AmEx (Published January 2023)
27:05 - How Credit Scores Work (Published October 2022)
41:10 - How Discover Won Over The U.S. Middle Class (Published February 2020)
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How Credit Cards Work In The U.S. | CNBC Marathon
Plz, if anyone working in CNBC is reading this comment, MAKE MORE of in-depth documentaries like this. You can do better than Netflix, I swear.
😂😂😂😂 so true. So true.
Agreed!
INDEED! 👏🏽👏🏽👏🏽
Yes sir.So true.
I agree with him
Enough learning from Mr Deymon makes you feel like you're buffet, and you'll feel like you ARE the market.
Probably my favorite trader I’ve seen on RUclips. Well done Mr Sam!!🤘🏼
He's TE LEG RAM....
@samdeymon53 💯 ..that's it = 4 advise..
Protecting your capital is much more important than making money. Thansk to Mr Sam Deymon Basically because if you lose your capital, making money is much harder.
Creating wealth Through the right information.
“Johnny Lastynamey” from Title, Company Name was fantastic at 48:24. 🤣😂😅
Those start about half way though and increase toward the end.
The oddest are those that have information filled in and _also_ have the template text. (in some cases, literally "text text text").
@@JohnDlugosz 43:45 "Term of Phrase...text text text" lol
Oh thank goodness I'm not the only one who noticed this 😅 Currently at "term or phrase text text text" and now very much looking forward to meeting Johnny Lastynamey
I'm listening more than watching this so I am amused I happened to see this
I especially appreciate the insight from Title, Last Name, Title, Last Name, Title, Last Name
If CNBC needs a new video editor I'm sure I could do a better job than whoever did this. Maybe even a job as the boss of the editor who told them this was okay and to just publish it. I am embarrassed for them.
Managing money is different from accumulating wealth, and the lack of investment education in schools may explain why people struggle to maintain their financial gains. The examples Mr Sam provided are relevant, and I personally benefited from the market crisis, as I embrace challenging times while others tend to avoid them.
Investors should exercise caution with their exposure and exercise caution when considering new investments, particularly during periods of inflation. It is advisable to seek guidance from a professional like Mr SAM DEYMON or trusted advisor in order to navigate this recession and achieve potential high yields.
He's TE LEG RAM....
@samdeymon53 💯 ..that's it = 4 advise..
I observed that Mr Sam Deymon had quite a chunk of investment everywhere, stocks, crypto, dividend investing to name a few, so he had revenues coming in from all angles.
Mr Sam Deymon One of the greatest inside information traders ever.
CNBC really knocking out these small documentary style stories. I really like it cause it’s a more in depth view of problems instead of a small “hey it’s a problem on to the next story” really gets me thinking 🤔
I wish cable news was replaced with these kinds of stories. These stories I could watch all day.
Hsbc bank
😅😅😅😅😅
😅
For sure. Love these.
Some economists have projected that both the U.S. and parts of Europe could slip into a recession for a portion of 2023. A global recession, defined as a contraction in annual global per capita income, is more rare because China and emerging markets often grow faster than more developed economies. Essentially the world economy is considered to be in recession if economic growth falls behind population growth.
My main concern now is how can we generate more revenue during quantitative times? I can't afford to see my savings crumble to dust.
You can only accomplish little to nothing on your own right now because it's a sensitive season. Therefore, I'll advise you to hire a financial professional who can give you important financial advice and support.
How can I reach this adviser of yours? because I'm seeking for a more effective investment approach on my savings?
@@Mussa653 I just Googled her name and her website came up right away. It looks interesting so far. I'm going to book a call with her and let you know how it goes. Thanks
Now - we may not be in recession. It's all people guessing. who knows!
43:45 😂 someone is getting written up for that
I love the "Term or phase. Description of the term or phrase, etc, text text text text text text" definition of transactors and revolvers at 43:40
I am more of a 47:47 fan. Johnny LastyNamey who works in three identical functions in three identical companies is such a legend!
@@Aviertje Came to the comments just for this
Wait this is definitely something that @CNBC just absolutely missed and didn't update in their video template... people clearly are not paying attention in these videos hahahaha
How credit cards work:
They trick you into thinking you have more money than you actually do 🙃
and allow every government and company in the world track your spending habit
Exactly 💯
i went from no credit to excelent credit in 3 years... the guy is right, its simple. never miss a payment. only pay for things u can afford. pay your balances at the end of the month to keep your balances low (and to avoid finance charges) and bam excellent credit :)
Were you charged interest for using the credit cards or does interest only come in when you default on the payment schedule? Does your bank automatically pay the money you "borrowed" (due to credit card use) before the payment date is due (I'm assuming you already have the money in your account)?
I'm trying to understand if you basically use the credit card like a debit card or if it's possible to live in the US without being denied services when one exclusively uses a debit card.
Thanks in advance.
same 3 yrs i'm at 770
@@abdul-kabiralegbe5660 Hey Abdul. You're correct. When you use a credit card, you're basically taking out a loan. The bank pays for your transactions expecting you to pay them at the end of the month. If you dont pay them, then thats when all the fees and interest come. As for being denied service for only using a debit card, don't worry about that. I live in the states and I've never been refused service for not having a credit card. If you do ever get a credit card, treat it like a debit card. Don't spend money you dont have. I hope I answered your question. Cheers.
@@EAplays619 You completely answered my question. Thanks! 👍👍
I went from no score to above the national average within 6 months despite having to max out my sole credit line initially (moving costs and hadn’t received my first dollar paycheck yet). So the “discriminates against immigrants” points is also BS.
Johnny Lastynamey seems like a very smart guy 😂
Yes, Visa and MasterCard are money generating companies. I just buy both stocks. Stockholder since 2009.
as Indonesian, i'm grateful that in Indonesia the payment network (GPN & QRIS) is controlled by central bank which fee is only 0.7%.
My income last year was under $10k, I've lived below poverty for over 20 years. My credit score is 804.
update: Oct 22, 2023, score has increased to 807.
My rent is now $200/month since the city of LA agreed to pay half due to low income. My AT&T wireless and internet total is $35.
Well you don't need high income to have a high credit score. But kudos to you🎉
My credit score is probably 0 since I haven’t been in America for 10 years.
Do you have one card and charge like $50 a month and then pay it off? How?
@@JazzyJae88 I have 4 cards (Capital One, Apple and 2 American Express)
I only use the AmEx Business card cuz they don't report to the credit agencies so my balance every month is always zero.
AmEx lets you pay the balance any day of the month so I immediately pay off any balance daily. Slowly they increased my credit limit.
So, in my case, 0% utilization each month with ever increasing limit.
@@taytrong🧢
I love this content. It is educational and informative. Thank you and keep them coming.
I own an American Express card, but when I travel abroad especially the EU countries not many average business take the card. I always have to use my Visa or cash. My friends who have Master Cards have to use them also. AX cards are just not accepted at the mom and pops.
AMEX transaction fees are insane. VISA transaction fees are pennies compared to AMEX, which is why a lot of companies don''t allow their use.
Amex is over rated anyways
I remember AMEX charging 14.5% per transaction from small UK coffee shops in 2018 so they all put up signs "no AMEX".
The EU caps visa / mastercard fees at 0.3%. Amex isn't capped, so most small merchants won't accept it.
They don't take the card because they charge 12% of the transaction or at least I used to it could be more now. 😢 we certainly didn't accept the card and I know that most of the business is around here and in London certainly don't want Amex. Sorry but I don't think the future is bright for a mess bright for Amex.
Hey great story, please keep us informed of your journey. Just a thought, I noticed the book that got you started was written by Jared Martinez. Jared is known as The FX Chief, he owns a company, Master Traders Institute ( MYSTICFLIP )in Florida. I am sure he would appreciate your story.
This was a great and informative video. Thank you this really opened my eyes!
When it comes to credit scores, I think one thing that holds a lot of people back is the length of credit history. Getting a new line of credit lowers the average. Even if you have 10 years of on-time payments and great standing, if you get a new card, it takes years to bring the new average up.
Years? Lol
@@osoriobmw0830 Yes. My oldest account is 9 years old, but my average age for my credit score is just over 2 years due to me getting new cards when my credit score improved. I either have to wait for the average to go up, or I have to be an authorized user on a card from somebody else that has a long history, which is ridiculous.
And it's not like i could have just waited without getting. That 9 year old line of credit only has a $1000 limit as It was a starter card. With other cards that offer no interest financing for things i needed, my utilization went up, so I had to apply for more lines of credit just to bring utilization down. Plus if you want cards that offer better benefits like travel points, you sometimes need to show that you have other cards with higher limits. The Capital One Venture X card, for example, has a more favorable chance of being approved if you have a line of credit over $6000 that's been open for at least 5 years. If you don't, you're not likely to get approved, even if you have otherwise great credit.
Social credit of usa😂😂😂😂😂
The age of ur loans is another thing. U pay off a loan? BAM lower credit. So then it becomes a game of balancing the debt vs credit score. Helps once you have a stable living situation, like house and car, but very difficult with the housing and car market
Depends on the file. If your file is brand new, the statement is true. If you have a long history, opening a new credit card is nothing and often doesn't affect your score.
Did no one else notice at 48:25 Johnny Lastynamey, title, company name 😂😂
Did you notice that's not the only instance?
They forgot to edit 😅
Watching this without any credit cards. I cut them all up last year and closed out all of the accounts and haven’t looked back. Not worrying about credit card debt is great!
Did you check your credit score sense then?
@@lovly2cu725 That makes sense. 😍
I personally don't agree with this, if you are disciplined enough to pay off the card completely as you use the card, you can earn a lot of rewards like free flights, car rental insurance and cash back.
Most debit cards are still Visa's
it’s called discipline. credit cards are a great tool for travel
Informative as always, great documentary. Also applause to whoever put in the “Johnny Lastynamey” and the generic title and company name subtitles @ 47:48 😂😂😂
There is only one winning way to use a credit card. Always pay off the amount before the due date (interest free period), and then accrue the loyalty points. I have been using these cards for the last 45 years and never paid a cent in interest. The card fees are recouped by the accummulation of loyalty points.
And people do in general until the economy tanks and they fall behind. Or they use it as a parachute which will become a deathtrap
Me too, but instead of loyalty points, I have a cash reward of about $200 a year. Still I wish that merchants would offer cash discounts.
Actually you pay it down below 10% before the report date for credit reporting purposes. Then you pay it off by the due date to avoid the interest. That is a nuance too many people miss.
You should do a new video about MYSTICFLIP ! I really like you’re mellow delivery and you seem like you’re very knowledgeable. I watch lots of influencers and you always seem very calculated and know exactly what you’re talking about and understand it. You’re better at explaining complicated things simply, than any other person on youtube keep it up brother!
47:48 I'd love to see if Mr. Lastynamey will still be here in a few hours.
I'm just happy that I don't ever carry a balance on my credit card I've had one card for 22 years
I have 20 cards. I only use 1 or 2 at a time. I only use the cards that have 0% apr promotional offers and when those offers expire i make sure i have paid off that card. I get points for using the card and some cards give me $100+ when opening the account after spending a certain amount within a couple months. So, I never pay interest and the credit card pays me for using it. Be a smart user and there are MANY benefits. In a worse case scenario, think about which money you are spending. The money in your bank account or the unsecured credit ??? I rather have money in my bank.
Any fees charged to a business is passed on to the consumer through higher prices. This is what happens every time. Don't let the merchant fool you into thinking he/she is incurring debt due to your use of a credit card. If the balance is not paid off on a monthly basis, you are the one going further into debt not them.
Get credit cards, they help your credit. There literally 3 rules to be a good credit user:
1. Pay off your amount in full every month.
2. Dont go over 35% of your credit limit. (Ex: If your limit is $1000, don't go over $350)
3. Keep your credit cards, even if you don't use them (i.e the longer you have a credit card the better)
1: Check (I always pay the entire balance off every month)
2: Check (I try not to even go over 10%-15% utilization rate)
3: Check (I still have my first credit card that I received, since I was 18 years old. Nowadays, I only use that card once or twice a year just to keep the account active - it does not give me any cash rewards)
The results of doing those 3 things:
1. I never, once, paid for interest charge, annual fee, or late-fee
2. Each year, I have been getting a few thousand dollars back in cash rewards between my 3 cards (my oldest card does not give out cash rewards)
3. My credit score is well over 800
4. I do not get stressed out about having credit card debts
I have a problem with the last rule since it actually doesn't indicate whether someone is a bigger or smaller risk. Being diligent and closing lines of credit you don't need actually implies that one is good at credit management. Having multiple unused lines of credit DOESN'T mean one has a higher probability of paying back their loan correctly. Instead it just incentives users to engage with credit card companies more. Seems like a perverse incentive. Part of your score indicates how much money a bank or creditor might make from you. Again, capitalism creates an incentive counter to the incentive of the consumer.
Another rule might be avoid credit cards with annual fees
@@cyberspirt Not always. Amex issue two very similar cards. One has an annual fee the other does not. They both offer cash back however the annual fee card pays 6% cash back rather than 3%. Given our annual grocery bill, paying the annual fee is more than made up with the extra cash back. I have the AMex on my fitbit so always use that to pay at grocery stores.
1 & 2 is good enough, close out any accounts you’re not using to keep things simple… avoid complexity if you can
This is incredible stuff. Had no idea about much of it.
48:21 Johnny Lastynamey lol
Fantastic documentary about the credit card industry👏!!! Strong work 💪‼️
Amex, Chase Sapphire, Venture X, CITI Premier, and airlines and hotel cards -
These are my business class to Tokyo, Paris, BKK, DBX...
The trick is apply, use, get the bonus and close it right away.
Love it !
I work in banking in America and can tell you this for a fact... America IS a monopoly! And so are most of the businesses here
Hey atleast u have free health care
@@baikeiast5255 笑 笑
@@baikeiast5255 free healthcare???? 😂😂😂
The term or phrase at 43:47 was very informative!
48:23 as well 😂😂😂
Text, text, text, text........
I understood that perfectly 🙄🙄🙄
My credit card monthly bill is around $900 to $1200. Never been late once
In Norway we look at bank accounts as basic infrastructure, so everyone has the right to an account and basic service as online bank and debit card. Credit is of course not for everyone, but I think we have a much better credit system than the FICO Credit Score.
In America, we look at banks as critical financial infrastructure that are held hostage by people who gamble on risky financial instruments.
The US lives on credit, and that's cultural. Yet as far as credit cards go, I think it's popularity is historical. Payment cards started off in the US as credit cards, because there was no possibility of checking in real time if the customer had money in their account (no payment terminals, no internet, no telephone modems).
So the credit card was also a certificate of guarantee: the bank guarantees this customer's bill will be paid by the bank. But once payment terminals and online authorisation became a standard, the profit from credit was such big money, that banks and payment networks were not willing to give them up. I mean, it doesn't make sense - why should I borrow money if I have my own?
As someone from Poland, where the banking system exploded in the 90's, the credit card is something rather rare - less than 12% of all payment cards, and on a long-term downward trend. I've been practically cashless for at least a decade, yet I've never had a credit card and only once did I regret not having one (an American hotel network in Poland demanded one from me one day before check-in, and I had to phone daddy 🤣).
What do you mean by better? Do poor people in Norway have access to credit to buy expensive items like a house or a car?
@@piotrb4240people in the US buy way more than Polish people
@@piotrb4240 Thanks for explaining why credit cards rather than debit cards are more in the US. I've often wondered why people there use a credit card (essentially borrowing money) when they may have said money in their bank accounts.
In India,they have UPI-Unified
payment interface which is a
great concept.You have to
just scan QR code and pay.
No need to carry your cards.
Mastercard have taken over in europe, visa seem to be very stubborn in europe not willing to provide a good service. Also many countries around the world have now their own domestic payment systems.
Here in Barbados where I'm from,5 out of the 9 financial institutions who issue cards,issue Mastercard.whether it be credit or debit.
I have notice merchants have started passing on swipe fees to the customer. A man in front of me at a gas station was buying 2 bags of chips for $1. The clerk told him that he had to charge him $.65 (65 cents) to cover the swipe fee. To my surprise, the guy paid it.
That is one of those things the European Union did well. They put a limit for swipe fees - and that credit cards must not have higher costs for the merchant than a debit card.
The result of this is that much more supermarkets in Europe accept credit cards.
And - some US card issuers do not give point or "cashback" anymore when using their cards in the European Union ;-)
I have a friend having a small shop in Southern Germany, and he pays 1% on everything for just approx $10 a month for the payment terminal - and another who pays 0.3% but with some $500 per month for the terminal.
I have never been to a supermarket in the US that didn't accept a credit card.
I got the venture x card a few months ago and have been loving it so far. I think they're the only travel portal that does price matching. It was one of the main selling points for me since other travel portals tend to be pricier than expedia etc
Adoro esse tipo de documentário
I want to live in a world where transactions don’t have fees
Move to India and embrace UPI..
I want to live in a world where my worker don't have salary.
Use cash???
I want to live in a world where there's an abundance and nothing needs to cost money.
You already are livihg it, sad thing is you still don't know. Bitcoin.
Economic investigator Frank G Melbourne Australia is still watching this very informative content cheers Frank ❤
Que informação importante ❤ gostei
Love this!!!!❤❤❤❤❤❤
Keep up all these incredible news reports!
Informative content.
Love the commentary from "Johnny LastNamey" there at the end. LOL
I used to have an AmEx card. It was so annoying, every time you try to use it there's a 75% chance that the place doesn't accept it.
Starting early is simply. The best way of getting ahead to build wealth, investing remains a priority. I learnt from my last year’s experience, I was able to build a suitable life because I invested early ahead this time.
I’m celebrating a $30k stock portfolio today. I started this journey with 6k. I have invested on time and also with the right terms now I have time for my family and the life ahead of me
Wow, really. I was able to make my $25k on investment
@@zoeyswaniawski7306I’m looking for something I can venture into on a short term basis, I have $15k sitting in my savings
You’re right but a lot of people remain poor due to ignorance
Not because of ignorance, it’s because of the high rate of unprofessionalism in the cypto market
A realistic assessment of whether you will pay back a loan like a FICO score isn't "racism", a black person wouldn't lend money to you either! And a company shouldn't be compelled to lend money to people they don't want to for any reason.
Hi friend ! 💖 I’m so so so happy to hear you had a great time in Mexico 🇲🇽 and that you were able to visit where your grandma is resting♥️ I always enjoy seeing your progress🥹 I was cheering you on to keep going on the October 😂 but better to play it safe 🤣🤭
Johnny Lastnamey, the Title from Company Name was a nice touch.
I remember when businesses tried to charge the swipe fees to the consumer, people just stopped going to those places.
I’ve usually only ran into this at bars or restaurants. It usually won’t stop me from going to a place. But the places they won’t accept cards ar all do keep me away. A bar that is cash only I will almost always avoid. But one thing I always wonder with the swipe fees is how it compares to the fact that people generally spend more with cards than cash. I would think the increased spending with cards on average would make up for swipe fees.
It works great for me. I use my costco credit card for everything instead of my debit card. I make numerous payments / mo whenever there's a balance instead of waiting until the end of the month. Costco service desk has been handing me cash. Almost $500 every year for using their card. Btw I never pay interest
I had alot of fun, tha nks for the good times cnbc😊
If I'm not mistaken Con Edison as an electric company in New York City does not allow visa payment
I was wondering how in the world is 43:40 "Text or Phrase", "Description, text, text, text" is related to credit cards. 😂
Ask Johnny Lastnamey, he can probably explain it to you.
This needs to be updated since the figures have seriously changed because of a 3 year crisis, not only inflation, job losses, changes in spending habits make this production outdated
Good point
I do take advantage of the ZERO% intro APRs but when that ends I pay off the full balance interest free. Works for me.!!!
I went off the grid financially for over 14 years and came back with no score and now have a 760 in less than 3 years
I have two VISA cards. Never use them. Almost all my charges are MC (my bank) or CIBC MC.
Haven't used my (no fee) Amex in years.
My retail business has pretty high margins on sales, so the cost of the card swipes is not that much of an issue.
Not even 20% v. the rent.
Debit cards are the cheapest for the merchant: 5 .. 10 cents per transaction and no cash to manage.
We did not accept Amex. Everyone carries other cards anyway.
For some reason Canadian credit scores top at 900, not 850.
if you don't use them I'm pretty sure they're not active anymore. Which means your credit took a hit
@@CAIN180 I check the card websites for my balances from time to time and they are indeed active. Amex e-mails me my 0.00 balance monthly. For that matter received an up to date card recently from one of them.
You're correct that scores will go down when you cancel (or issuer cancels) a card, but that is transient.
In the past, Capital One sent me a letter saying that it would cancel my "original" card, since I did not use it at all for a long time (it was the very first credit card that I got when I was 18. But it does not give me any cash rewards). So, twice a year (in June & December), I would use it to do a small purchase just to keep it active.
Normally, I use my 3 other credit cards on, pretty much, everything; since each year, I would get a combined-cash rewards of a few thousand dollars from them. And since I always pay off the full balance and on-time every month, I never had to pay for the interest charge or late fee (and they do not have annual fee).
Most people fail with their credit, because they refuse to live by the companies rules!
1) It is not your money, your just borrowing it!
2) Setup autopay, even if your just paying the minimum!!
3) Learn and live withing their Rules!
Here is one key issue with debit and credit cards we need to realize:
Over 95% of all money in circulation is digital, not physical cash.
Other estimates from economist Richard Daughty argued in 2010, that electronic money consists of 99.93% of all the money that exists.
Penalizing customers for using payment cards has the potential to cut you off from over 95% of the money supply.
Why doesnt Discover partner up with big banks like Citi and Chase to issue cards ?
They tell you right in the video. Discover & Amex are both issuers and banks. They are like a “Visa” or a “MasterCard” but they both take the risk of the loan while Visa and MC only provide a network and none of the financials.
That would be like partnering with your direct competitors.
We depend heavily on the credit score for rental. It have been reliable except for a few who have decent credit score but still can’t pay rent on time or at all. Just finished an eviction who had decent credit score but couldn’t pay rent.
It's not decent anymore.
In India, we gave upi that is free and instant fast payment system, specially design for small merchant and person to person
The thing that TICKS ME OFF is the merchant concerns about swipe interchange fees. I have recently gotten into the credit card gig literally first secured card 6 months ago, and now I have the American Express Platinum through all the credit building tricks I've done. The amount of value I have received from cash back rewards PLUS charge back protection has been a god send. The interchange fees are helping to make sure I"m not being scammed out of my money when a merchant charges me too much for ex.
I live in Europe at the moment, and good credit cards don't exist here. Unfortunately, the EU capped interchange fees at 0.3% because it was "too high prices" for consumers and merchants. Yet when they introduced it, did we see merchants passing on their interchange fee savings to consumers? NO. Did we see great value for consumers? NO.
Literally the MAXIMUM cash back in all of Europe is 1%!!! I'm so lucky that I get to use my Amex and Chase cards here, and since foreign cards are not affected by the 0,3% cap, I still get all the benefits.
another example, In the late 2010s, Australia capped interchange fees. But did the merchants pass their savings to consumers? NO! Prices not only stayed the same, they actually increased.
ITS INSANE TO ASSUME that merchants will ever be like "oh wow! I saved 2% more on interchange fees, let me GIVE the 2% to the consumer." NO. They will either reinvest the savings back into the business or like every other money Hungry merchant, just keep the 2% profit like the egg head in the video.
i only use a american express bluebird pre paid debit card
When prices go down, do you then ask your employer for a decrease in pay?
Most merchants have high competition so their prices will be dictated by market forces. Further, they have really small margins in many cases. So a decrease in transaction fees will result in an improvement, but the margins are still small.
Visa and MC have done well to make merchants look like the bad guys when, in reality, the banks and the payment card companies are making a killing as the middlemen.
@@SachinGanpat if studies show merchants increase prices instead of lowering them to the masses then thank God Visa and Mastercard are doing that.
Honestly I appreciate you and your content < Technical Analysis is good but I find It truly baffling that major crypto youtubers just look mostly at pure T.A and completely ignore the bigger narrative of why BTC is pumps/pumped and why the future outlook will be even rosier than it seems. It's kinda irresponsible to ignore the fact that each ETF launch so far has caused a major dump at the peaks of BTC. We were already on shaky footing with historically low volume and almost pure whale pumps,narrowly avoiding a long-term bear market. More emphasis should be put into day tradiing as it is less affected by the unpredictable nature of the market. I have made over 12 btc from day tradng with MYSTICFLIP insights and charts.His been one step ahead of other analysis..
Mean while India with RuPay cards with 70% market share in india @ 0% commission being accepted in 25 countries till now.
American government will be pushing their digital money system come July
ruclips.net/video/le8Me8AfK8k/видео.html
They must make money somehow
If you are financially responsible to the point of never having debt, you're screwed.
I do not remember who it was, but someone once said.
An apartment provider may turn me down because of my 0 credit score, but I have enough money to buy the whole apartment complex.
Esse How Credit Cards Work In The U.S. é Top dos Tops
1:57 its funny how that is meant to be shocking but everyone is ok with apple taking $30 off that sum first. Visa getting 25 cents is shocking....
Americans start living within their means so credit cards are no longer necessary and that has the financial sector scared! We must be finally doing something right now if only our government would take the same approach to the national budget
I had a major inaccuracy on my report, a credit card that was majorly delinquent with a bank I’d never had credit with, dropped my score by 25 points, I did ask for it to be removed and it was removed within 12 hours, but my score took like 35 days to bounce back! Imagine if I was trying to get a loan at that time… it should absolutely bounce back right away!
Thank you for video
It's good that they don't based the credit system on things like your level of education but mostly on your history and spending habits. Otherwise, many entrepreneurs who are dropouts would struggle to fund their businesses. It is nice to know that they're informed that your eductation level doesn't determine your financial future. Many countries look at unnecessary credentials like education level for credit evaluation and that is one of the reasons to why the US is wayyy wealthier than them.
I actually used to think to myself that American Express sounded like a transportation company. Now I know that it pretty much was one. Also I wanted to give you the heads up that some of the video text templates were shown rather than the actual titles or names of people.
This is good work 👍
48:22 forgot to put the Title, Company Name 😂
title, company name. title, company name. title, company name.
The solution is easy and is already implemented in many small businesses as well as municipal services. If you use a credit card charge a fee. When I pay my utilities they charge me 2.85% to use my debit card. The bodega where I buy my beer charges 3%. I think it’s fair.
How else are you supposed to pay your utilities? Venmo?
@@beetdiggingcougar all utility companies are located in the same communities they serve. You can walk in and pay cash or mail a check.
@@robertneblett4477 All of them? Like Rocky Mountain Power which is the electricity provider for three states?
I always hate that the charge immediately goes through but refunds take two weeks.
explaining how safe it is with an svb backdrop 💀😂
Was thinking the same thing, svb IN-securities lol
My first card was the Discover it card. Now I have an Amex gold card. Ngl not a visa/Mastercard fan. However I use Visa through Wells in case I have issues with merchants. Sigh
What about Manual Underwriting Loan application? You may not have a credit score, but you are a responsible citizen paying the bills on time.
What are the best additions to a $600k portfolio to boost performance?. ETH is Up and will do better, I believe indicators, for profits will continue to improve, investors like me believe that "Santa has come early" to the markets...
I think you're better off with majority investment in bitcoin and uprising equities because they always outperform. Alternatively speaking to a certified market strategist can help with pointers on which to acquire.
Wow, massive gains! My partner recently hinted at going the same direction.. What did you invest in?, and who is your investment advisor please?, if you don't mind me asking in dire need of asset allocation.
Elissa Dawn Sharon is the licensed advisor I use. Just research the name. You'd find necessary details to work with to set up an appointment.
Thank you for this amazing tip. I just looked the name up, wrote her explaining my financial market goals.
In light of the impending recession and the fact that inflation is still far higher than the Fed's 2% target, several of the most prominent market analysts have been expressing their views on how terrible they believe the next downturn will be and how far stocks may have to fall. I need advice on what investments to make because I'm attempting to create a portfolio for my children that will at least be $850k in value.
There are many interesting stocks in many industries that you might follow. You don't have to act on every forecast, so I'll suggest that you work with a financial advisor who can help you choose the best times to purchase and sell the shares or ETFs you want to acquire.
@@trazzpalmer3199 Only a good FA will be enough to guide you through the current market volatility. I've been speaking with an advisor for a while now, primarily because I don't have the necessary expertise or stamina to handle these recurrent market conditions. The fact that I made over $220K during this downturn proved that there is more to the market than the typical person is aware of. The greatest course of action right now is to have an investing consultant, especially for people who are nearing retirement.
We’re only just an information away from amassing wealth, I know a lot of folks that made fortunes from the Dotcom crash as well as the 08’ crash and I’ve been looking into similar opportunities in this present market, could this coach that guides you help?
My Financial Advisor is JEANNE LYNN WOLF. I found her on a CNBC interview where she was featured and reached out to her afterwards. She has since provide entry and exit points on the securities I focus on. You can run a quick online research with her name if you care for supervision. I basically follow her market moves and haven’t regretted doing so.
Right now, I'm literally hanging on by a straw, so your advice couldn't have come at a better time! I'll look her up on the internet and then give her a call.
Interesting insights from Johnny Lasteynamey at 47:46 👌
clear outlook, thanka!
Honestly, credit report and score is perfect for financial decision. I ignored this several times with the rental properties, I ended up deed my properties in lieu to the loans because the tenants did not pay rent. Most people with bad credit scores and reports could be better with financial responsibilities.
If you are reviewing potential tenants, credit history is significant. But I mean credit history, not credit score. If you are not looking at credit history, but simply going by your vague feelings, you not only open yourself up to getting screwed. But also, you might be opening yourself up to charges of discrimination.
@@swicheroo1 - Negative credit history will result in a negative credit score pretty consistently most of the time. The comment above did not say he was going by "vague feelings". The comment said that a low credit score was indicative of poor credit history and that it was helpful in determining the chances of how reliable people would be in paying rent.
Easy solution would to pay everyone right. And don’t say that’s not possible, more than enough money in this world. But for some reason people think they need more than one house. Greedy greedy.
Maybe fight for workers rights. Annoying that companies are allowed to send people home unpaid whenever to make recording breaking profits. I would have missed rent last month if I didn’t get a new manager who dropped me from 40 hours a week to 10. Without notice. And you’re gonna tell me I need to be more responsible? This year I drop down to 2 meals a day. Don’t remember the last time I bought something from the store that wasn’t food or hygiene
@@Baseenough No, I did not have more than one property. I rented out my primary residence because I had to return to the Marine Corps on active duty. I believe in capitalism, and life is a gift; how an individual lives is a choice. People choose a high-paying profession that requires higher education, some people decide to drop out of school to start a business, and some people drop out of school and work unskilled labor jobs. It is called the FREEDOMS.
Society is driven and built on debt. It will also be societies demise at this current rate
America is driven on debt. And it has has been drowning on top of other countries.
Agreed, complete house of cards that will fall eventually
Was this an old video? Feels like I watched this like at least 2 - 3 years ago.
Valuable insight from Johnny Lastnamey 48:20 😂
When referencing corporate America, he said “They don’t really care about you as they make it seem” realest thing he said...I’ve seen experienced it first hand in the DMV. Black ppl aren’t really respected in corporate America. Glad that he was able to get out of there and become his own boss MYSTICFLIP
Many indian started using payment apps 5-6 yrs ago and Chinese started using payment apps decade ago. I think US and Europe still uses primitive tech like cards just because these lobbies are strong
at least US banks don't rip you off like Indian or Chinese banks.
Apple Pay and Google Pay are catching up here in the States. I can pay with my phone to purchase groceries or fuel. Walmart is the largest exception.
@@GlobalGaming101 I can do that in Europe too.
Banking apps are also used in Thailand.
No cards and no fees.
No Apple Pay or Google Pay collecting fees.
Just transfer your money from your bank account to the bank account of person providing the goods or services to you.
And it is done instantly.
The US system is sooo last century. 😅
@@somluck2813 these comments born when people live in a cave and don't have an idea what they are talking about.
Apple pay or Google pay don't charge the costumers to use these advanced systems.
i can use my phone to pay anywhere without no problem for free, i don't know where you got your information from but tbh internet search is free, go look it up for yourself.
also in the US it's the same, here we use Zelle which is use to transfers money to anyone to another bank for free using their phone number or email address, we also have paypal, you third-world countries forget that the US holds the biggest banking payment systems in the world right?? LMAO!!
I love the "Term or phase. Description of the term or phrase, etc, text text text text text text" at 43:42
Way to go great content tonight! Its refreshing to know I'm not the only one thinking this way as well!! Keep up the good work in retirement!! Looking forward to what will happen on your retirement!!! Will be retiring in May 2024!!! Happy New Year!!!
FICO score is very important in credit system