Chase Abandons College Credit Card Market - Other News


ADVERTISING DISCLOSURE: is an independent, advertising-supported web site. receives compensation from most credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. has not reviewed all available credit card offers in the marketplace.

Credit Card Applications » News » Other » Chase Abandons College Credit Card Market

Chase Abandons College Credit Card Market

Chase Abandons College Credit Card Market
The content is accurate at the time of publication and is subject to change.
This content is not provided by Citi. Any opinions, analyses, reviews or recommendations expressed here are those of the author’s alone, and have not been reviewed, approved or otherwise endorsed by the Citi.

Chase Card Services, a division of JPMorgan Chase, has pulled its +1 Student MasterCard, saying that the student credit card market is no longer a priority for the bank. However, Citi and Discover are still focusing on the student market.

Discontinuation of +1 Card

Chase is apparently no longer interested in the student credit card market, and it will halt marketing its only student-targeted credit card, the +1 card. According to Fox News, Chase spokeswoman Gail Hurdis said the bank is not focusing on college students at this time.

It’s surprising that Chase is giving up on this particular demographic, considering that students will eventually get jobs and easily become loyal credit card holders. This decision may have been triggered by the changes imposed on the industry by the Credit CARD Act of 2009, which restricts how creditors can interact with students.

Other Student-Targeted Cards

Other credit card issuers are not following in Chase’s lead, as they are still focused on the student credit card market. Research performed by the direct-mail marketing firm Synovate has actually shown an increased focus on this market, especially by Discover. Of all the offers Discovers sends out, 9% are student-targeted offers. Discover has two credit cards targeted to students, including the More card and the Discover Student Open Road card (offers have expired).

Capital One is also marketing to students, releasing the Journey Student Rewards Card in early 2011. The card offers students an additional 25% bonus on cash earned as a way to reward those who pay their bills on time each month. Additionally, the card comes with a low credit limit, at least initially, to help students build credit responsibly.

Shift of Interest Rates

Chase’s decision to pull the +1 card has indirectly led to an increase in average APRs on introductory credit card offers around the industry. The rate rose to 14.67% at the end of April, which is the first time it jumped since late February. Capital One’s Journey Student Rewards Card replaced the +1 card on the database and skewed the data. While the APR range of the Chase card was 17.24% to 21.24%, the APR for the Capital One card is 19.8%. Since this is higher than the low range of the Chase card, the average APR has, in turn, been affected.

Disclaimer: This editorial content is not provided or commissioned by the credit card issuer(s). Opinions expressed here are the author's alone, not those of the credit card issuer(s), and have not been reviewed, approved or otherwise endorsed by the credit card issuer(s). Reasonable efforts are made to present accurate information, however all information is presented without warranty. Consult a card's issuing bank for the terms & conditions.
All rates and fees, and other terms and conditions of the products mentioned in this article/post are actual as of the last update date but are subject to change. See the current products' Terms & Conditions on the issuing banks' websites.
Add to Favorites:

Related News:

Get a 75,000 Mile Sign Up Bonus With the United Explorer Business Credit Card

Posted: January 18, 2019

When deciding on a new credit card finding one that offers the features you want is important but getting one with a great sign up bonus can really sweeten the pot. Right now the United Explorer Business Card is offering a 75,000-mile ... Continue reading
Visa and SiriusXM Partner Up to Roll Out a Mobile Wallet

Posted: January 17, 2019

Asking your car to make a payment can be a real time saver, and now Visa and SiriusXM Connected Vehicles Services Inc., have inked a deal paving the way for people to do just that using the SiriusXM e-wallet. Continue reading
United Airlines Unveils the New United MileagePlus X App and a 1000 Mile Bonus

Posted: January 16, 2019

United Airlines has upgraded the United MileagePlus X app, which let people earn miles on day to day purchases, whether that's groceries, a latte or something else. United Chase Visa cardholders can also increase their earning power due to ... Continue reading
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.
Earn 5% cash back at different places each quarter like gas stations, grocery stores, restaurants, and more up to the quarterly maximum, each time you activate.
For Excellent, Good Credit
INTRO OFFER: Discover will match ALL the Miles you've earned at the end of your first year, automatically. For example, if you earn 30,000 Miles, you get 60,000 Miles. That's $600 towards travel!
For Excellent, Good Credit
Earn unlimited 1.5% cash back on every purchase, every day
For Average, Fair, Limited Credit
You've successfully subscribed!

Please specify the following:All these fields are optional

Your Credit History
Themes you are interested in:

By providing this information you help us make our news letters more useful and informative. Thank you!