What's the deal with Discover Card? Can you 'splain me?

[trof]

I understand that many banks and other corporations issue (or 'sponsor') Visa and MasterCard.
So if Wells Fargo can woo you away from Citibank...bully for them.

But as near as I can tell, there is only ONE Discover Card issuer...Discover Card.

I've had one for many years and enjoy the cash-back feature.
So why do I get solicitations in the mail from Discover Card?
Don't they know I already have one?
I don't need 2.

I don't get it.
:shrug:

[pagerbear]

1. It's cheaper to market to everone in a demographic

...than to screen that demographic for people who already have the card. Or who don't qualify for the card.

That, and marketers are remarkably stupid.

[Gormy Cuss]

2. Ain't that the truth.

So-called targeting marketing isn't much smarter either.

[Dont_Bogart_the_Pretzel]

3. citibank that way too

I have two citi's and every month I get those "transfer" checks in the mail..from BOTH cards, if only I could transfer my balance from one citi to another. :eyes:

[trof]

4. You may be on to something. Perpetual motion?

;-)

[Zomby Woof]

5. They're owned by Sears

And Sears doesn't lend the name to other banks as a third party. So it's Discover Bank, and Discover Bank only.

Diner's Club (the first credit card issuer, by the way) is set up the same way - one bank only, through one company.

Visa used to be only through Bank of America (called the 'Bank of America Card' back in the day), until they went cross-market as Visa in the 80's. That means when you have a third party Visa, like Wells Fargo, you are probably borrowing from more than one bank in a hidden 'chain'. Visa kept the same logo and colors, just replacing the name - thus eliminating any confusion about who the issuing bank was. But interest rates go just a tad higher when the third party banks get involved. Hence Discover's gimmick of 'low interest' (which is still usurious).

Basically, they are all evil, lol.

[bridgit]

6. we only use ours for business...