Well, the results are in and the people have spoken. According to J.D. Power’s annual survey of 20,000 credit card customers, Discover has narrowly topped American Express as America’s favorite credit card provider.
“Discover has been inching up in the rankings, tying with American Express for the top spot last year and coming in second the year before. Cardholders may be responding to new perks being offered by Discover, which sweetened its credit card rewards program and made it easier for people to use their cash rewards, said Jim Miller, senior director of banking services at J.D. Power. “Discover has really focused on making it easier for people to actually use what they earn,” he said.”
Discover cardholders’ satisfaction may also stem from some new (and heavily marketed) features.
“Discover was also one of the first credit card companies to offer consumers free access to their FICO credit score, a perk that more credit card companies now offer. It recently rolled out a feature that allows account holders who have misplaced their cards to put a temporary freeze on purchases, cash advances and balance transfers.”
Meanwhile, American Express seems to be taking the survey results in stride as they continue to focus on expanding their overall customer base.
“Will Tsang, a spokesman for American Express, said that while the issuer “didn’t come out on top this year,” feedback from customers shows that cardholders are still satisfied with their accounts. The company, which branded its card as something coveted by affluent consumers, is making changes to appeal to a broader customer base, Miller said.
AmEx rolled out more credit cards in the past year that do not charge an annual fee but still offer rewards programs, Tsang said. One, the Blue Cash Everyday Card, gives new users a statement credit of $100 if they spend $1,000 in three months.”
Overview by Alex Johnson, Sr.Analyst, Credit Advisory Service at Mercator Advisory Group
Read the full story here