In our financial world, credit card companies have an eagle eye view on any financial transaction we perform. We do most of our monetary deals (like shopping, buying movie tickets, paying utility bills, medical bills, etc.) through credit cards. So, if the credit card companies want to know about the interests of American consumers, there’s no doubt that they’ll need to check the credit card transaction histories.
That’s why many reputed credit card companies, such as American Express, Capital One, JP Chase Morgan, and Citibank are always looking for big consumer data sources.
So, let's discuss what type of data they know about consumers:
1. Your signature
If you've any doubt against any transaction or charges, you can ask your card company to verify your signature and proceed. Credit card companies can send you the receipt copies.
2. Your location and preferences
Credit card companies may track the places where you often visit or your favorite hotels, where you’ve checked in. They are also aware of the top ATMs you use and how frequently you log into your mobile app. Credit card companies can follow your tracks and send coupons from local stores.
You must remember that with new tracking technology, scammers may also use this information for identity theft purpose.
3. Your marital issues
Most credit card companies check their customer information to find out traces of financial issues. Credit card companies may use that information and decide to lower your credit limit.
FTC (Federal Trade Commission) once filed a lawsuit against CompuCredit. The case was filed for lowering the credit limit for Visa Aspire consumers who used their cards for marital counseling or other related deals.
4. You're a regular customer
Credit card companies love regular customers. They pay on time bills, use the credit card regularly, and avail offers provided by the credit card company. They tend to make a lot of transactions and build a good payment history on their cards.
5. Your designation or job profile
Your credit card usage may reveal your designation. If you are one of the top heads of a company and use your card for company’s business, the credit card company may list you up as their top priority customer and provide you premium advantages. Sometimes they may send you attractive business card offers for your whole staff.
6. Your abusive nature
If you’ve called the credit card company and for any reason used vile language or abusive statement, credit card companies may tag your account and make a note on your profile as a "verbally abusive" customer. From next time onward, the customer care executive will be on guard before receiving your call.
7. You're a shopping freak
Credit card companies tie up with retail stores and create special offers for you based on your previous shopping.
If you were a regular shopper at Walmart but haven't been back in a while, an online coupon or discount card may pop up from your Email or app.
8. Whether or not you're risky
When you contact customer care service, the representatives can see your profile status. Some companies also show your profile with “green” (normal) or “red” (risky) indicator, depending on your card usage and payment history.
Based on that indication, the card company may revoke their services and cancel the card.
9. You're about to cancel
Credit card companies will analyze your account information, and if you haven't been using the cards for a long time, they might consider your account as dead or assume you’re going to close the account.
So, to retain you, they might provide you heavy discounts and offers.
Credit card companies gather information about us through considering our transaction patterns, usage quantity, usage type, usage frequency, card balance, payment history and other factors. So, as much we keep these factors straight, as consumers, our profiles will become valuable to them.