Inside the Economics Behind High Credit Card APRs скачать в хорошем качестве

Inside the Economics Behind High Credit Card APRs

ABOUT THE EPISODE In this interview, Itamar Drechsler explains that credit card APRs stay high because defaults and interest rates account for only part of the cost, while surprisingly large operating expenses, especially marketing, make up a lot of the rest. He adds that rewards are funded mainly through interchange fees paid by retailers, not through high APRs, and that marketing-driven consumer behavior gives big issuers market power over lower-rate options like credit unions. Drechsler also notes that many banks offer lower-rate personal loans than their own credit cards, likely because these products require far less marketing. ABOUT THE PODCAST This Week in Business features interviews with Wharton faculty about the latest news, fascinating trends, and issues impacting both consumers and the business world. Episodes are recorded at the Wharton School and published twice per week. Subscribe on Apple Podcasts: https://whr.tn/3EdpB5X Subscribe on Spotify: https://whr.tn/4ihHaiT Watch/listen on the Knowledge at Wharton website: https://whr.tn/twib #CreditCards #ConsumerFinance #APR #FinTech #Banking #CreditCardRewards ----- The Wharton School of the University of Pennsylvania is committed to sharing its intellectual capital through Knowledge at Wharton, the school’s online business analysis journal. Launched in 1999, Knowledge at Wharton offers free access to: Articles, podcasts, and videos highlighting Wharton faculty research and analysis of current business trends Interviews with book authors from Wharton School Press In-depth series of curated content like Wharton Executive Education’s Nano Tools for Leaders A searchable database of more than 10,000 articles covering all aspects of business A weekly newsletter that delivers Knowledge at Wharton insights directly to your inbox Visit the Knowledge at Wharton homepage: https://whr.tn/3qUpSBE Subscribe to the Knowledge at Wharton YouTube channel: https://whr.tn/3DEAgAU