Discussion Paper

Credit card pricing developments and their disclosure

Abstract: Public data, proprietary issuer data, and data collected by the author from a review of over 150 lender-borrower contracts from 15 of the largest issuers in the U.S. suggest that, over the past 10 years, credit card issuers have drastically changed the way that they price their product. This paper outlines the history and dynamics of credit card pricing over the past 10 years and examines how new pricing methods are addressed by current regulatory disclosure requirements.

Keywords: Credit cards;

Bibliographic Information

Provider: Federal Reserve Bank of Philadelphia

Part of Series: Consumer Finance Institute discussion papers

Publication Date: 2003

Number: 03-02