Originally Posted by
jjoe123
But is it that common that people that carry balance and pay 20% interest sign up for a 450$ card?
Yes, you're right that Chase might be using the credit and people with high credit score to boost some other financial offerings.
I think a lot of people who are used to carrying a balance/using a debit card see the allure of points and start racking up debt. I use a credit card for every single purchase I make, except those where doing so isn't permitted (mortgage) or costs more than the benefit (HOA dues). But that means that my credit card bills approach 50% of my net income each month. Keeping on top of that takes discipline and some cash flow, and while many people reaping the benefit of high-perk cards have the discipline and cash flow (who I'm sure Chase loves to have to be able to market other products to), many do not.