Originally Posted by
krazykanuck
I don't get your theory. IMO the least profitable cardholders would be heavy spenders on travel/dining who don't pay interest, and the more profitable would be those that have the lowest ratio of spend in bonus categories and continue to pay the annual fee.
CSR is VISA infinite. The more you spend the more Chase makes. Same situation as AMEX. CSR was not created to generate revenue on interest, maybe CF and CFU. This is not Capital One. You can see this on the financials. $450 AF does not attract interest payers. Bust out schemes are more concerning than making money on interest with CSR.
Let's say I have 20 credit cards, and I sign up for CSR just for SUB and 50% bonus. Yet I put flights on Amex Plat and Citi Prestage, food and grocery on Amex Gold and Cap1 Savor, and everything else on Citi DC. Someone has to pay for that 50% travel bonus, PP steak meals, Korean Airline Lounge, PreCheck, insurance....etc. Fact is churners are not profitable for anyone, except churners. Those who actually generate revenue for Chase will be squeezed if something doesn't change.