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Two big credit-card issuers tighten lending standards amid robust economy: WSJ

Published 10/29/2018, 01:10 PM
© Reuters.  Two big credit-card issuers tighten lending standards amid robust economy: WSJ
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  • Capital One Financial (COF +2.2%) and Discover Financial Services (DFS +1.6%) are becoming more cautious in their handling of credit limits as they question how much longer the economic recovery will last, the Wall Street Journal reports.
  • Capital One CEO Richard Fairbank says during the past year the company has pulled back on spending limits for newly issued credit cards and on raising existing cardholders' spending limits.
  • Discover, meanwhile, reduced the number of credit-card balance transfer offers to a group of consumers who are considered to be higher risk. It also said it has cut back on personal loan originations as it expects losses there to increase.
  • Previously: FICO plans big change to credit scores (Oct. 23)
  • Now read: Visa (NYSE:V): Safe Money


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