It used to be that credit card companies would give ‘rewards’ to users for the privilege of being about to track their spending. Now it seems to be the opposite. I reckon that means banks have too much power.
I use cash quite a bit, and it isn’t all about the transaction fees.
That’s always the cycle when it comes to giving up data for ‘perks’. First there’ll be benefits for complying, then those will go away, then it’ll turn into penalties for people who don’t comply. With the rise in technology in cars we’re already seeing some insurance companies offer lower rates for people in exchange for sharing their location/driving info. I think eventually it’ll shift to the point where ‘default’ insurance is made so expensive you’ll have no choice but to share everything you do with your insurance company
You guys are both off in your thinking. Credit card companies didn’t give rewards to get your spending data, they did it to get you spending. If people don’t spend on their credit cards, people don’t get charged large amounts in interest.
With car insurance it’s not about location data, it’s about risk. They’re giving cheaper insurance to smarter EVs that are safer and less likely to be in accidents, because it’s just free money for them.
You guys are both off in your thinking. Credit card companies didn’t give rewards to get your spending data, they did it to get you spending. If people don’t spend on their credit cards, people don’t get charged large amounts in interest.
They do it for debit cards too though. There’ll be other reasons as you said but getting your spending daa is 100% one of them
It used to be that credit card companies would give ‘rewards’ to users for the privilege of being about to track their spending. Now it seems to be the opposite. I reckon that means banks have too much power.
I use cash quite a bit, and it isn’t all about the transaction fees.
That’s always the cycle when it comes to giving up data for ‘perks’. First there’ll be benefits for complying, then those will go away, then it’ll turn into penalties for people who don’t comply. With the rise in technology in cars we’re already seeing some insurance companies offer lower rates for people in exchange for sharing their location/driving info. I think eventually it’ll shift to the point where ‘default’ insurance is made so expensive you’ll have no choice but to share everything you do with your insurance company
You guys are both off in your thinking. Credit card companies didn’t give rewards to get your spending data, they did it to get you spending. If people don’t spend on their credit cards, people don’t get charged large amounts in interest.
With car insurance it’s not about location data, it’s about risk. They’re giving cheaper insurance to smarter EVs that are safer and less likely to be in accidents, because it’s just free money for them.
They do it for debit cards too though. There’ll be other reasons as you said but getting your spending daa is 100% one of them