The average yield among the nations’s big six bank credit card issuers came in at 11.14% for the first quarter (1Q/16), compared to 10.96% in the prior quarter, and 11.00% for 1Q/15. Capital One (COF), the nation’s fastest growing major credit card issuer, again posted the highest yields, besting the average by 329 basis points (bps) in 1Q/16.
Capital One (COF), continues to lead the Big 6 with a 14.43% 1Q/16 yield while BofA was at the bottom with a 9.32% yield.
For 1Q/16, the American Express yield of 9.50% jumped 40 bps sequentially, and up 10 bps year-on-year (YOY).
For 1Q/16, the Discover yield of 12.42% was up 22 bps sequentially, and up 37 bps YOY.
For 1Q/16, Chase’s yield of 11.81% was down 73 bps sequentially, and down 38 bps year-on-year (YOY). For 1Q/16, BofA’s yield of 9.32% was up 17 bps sequentially, and up 5 bps YOY. For 1Q/16, Capital One’s yield of 14.43% was up 12 bps sequentially, and up 20 bps YOY. For 1Q/16, Citibank’s yield of 10.48% was up 7 bps sequentially, and down 10 bps YOY.
BIG 6 U.S. CREDIT CARD YIELD
AMERICAN EXPRESS U.S. CREDIT CARD YIELD
DISCOVER U.S. CREDIT CARD YIELD
CHASE U.S. CREDIT CARD YIELD
BANK OF AMERICA U.S. CREDIT CARD YIELD
CAPITAL ONE U.S. CREDIT CARD YIELD
CITIBANK U.S. CREDIT CARD YIELD
Source: American Express; Discover; Chase; Bank of America; Capital One; Citibank
AMEX – net interest yield on EOP cardholder loans
DISC – interest yield
CHSE – total net revenue (non-interest revenue + net interest income) as percentage of average loans
BOFA – gross interest yield
COF – average yield on credit card loans held for investment
CITI – average yield is calculated as gross interest revenue earned divided by average loans
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