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U.S. Bancorp's Arm Expands Credit Card Line With 2 New Launches
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In a strategic move to enhance its offerings, U.S. Bancorp’s (USB - Free Report) banking subsidiary, U.S. Bank, is expanding its U.S. Bank Smartly product suite with two new launches — the U.S. Bank Smartly Visa Signature Card and U.S. Bank Smartly Savings.
These two products are designed to complement each other to maximize credit card rewards while helping clients conveniently increase their savings balances. By offering a suite of interconnected products, U.S. Bank aims to attract and retain clients through a comprehensive approach that rewards both spending and saving.
Some other major banks, such as The PNC Financial Services Group, Inc. (PNC - Free Report) and Wells Fargo & Company (WFC - Free Report) , also introduced new credit cards in May 2024. PNC Cash Unlimited Visa Signature credit card offers simple but valuable rewards with an unlimited 2% cash back on all eligible purchases. WFC’s Signify Business Cash World Elite Mastercard offers 2% unlimited cash rewards on business purchases.
Features of U.S. Bank Smartly Visa Signature Card & Smartly Savings
The U.S. Bank Smartly Visa Signature Card offers up to 4% cash back on all purchases, while the U.S. Bank Smartly Savings account provides competitive interest rates. Together, these products offer a comprehensive banking solution, enabling clients to effortlessly manage their finances at the same time maximizing cash-back rewards based on their total eligible balances with U.S. Bank.
By pairing the card with a Bank Smartly Savings account and maintaining average daily combined balances across U.S. Bank deposit, trust, or investment accounts, clients can boost their cash-back earnings. This can increase their cash-back rate up to 4% on all purchases — the highest available rate in the market. Reward levels rise in proportion to the cardholder's combined average daily eligible balance.
The Bank Smartly Savings account provides savers with competitive rates and the convenience of a traditional U.S. Bank savings account, allowing clients to maximize their earnings. When linked with the Bank Smartly Card or an eligible checking account, account holders can earn up to 4.1% annual percentage yield on their savings balances.
Smartly Visa Signature Card and U.S. Bank Smartly Savings mark an extension of the previous launch of Bank Smartly Checking and U.S. Bank Smartly Rewards. These launches highlight the U.S. Bank’s commitment to providing integrated financial solutions.
Arijit Roy, head of consumer and business banking products for U.S. Bank, said, “There has never been a better time to become a U.S. Bank client.” He also added, “U.S. Bank Smartly provides a simple, rewarding experience for our clients, with additional benefits based on their total relationship with us. Now, with the Bank Smartly Card and Bank Smartly Savings, clients can enjoy even more rewards that are focused on savings rates and making the most of credit card purchases.”
U.S. Bank’s Progress in Card Business
USB has been witnessing steady growth in its card business. As of June 30, 2024, card revenues comprised 14.9% of total non-interest income, reflecting a 4.9% rise from the same period in 2023. Additionally, credit card loans represented 31.5% of total loans ended June 30, 2024, up from 28.4% as of June 30, 2023.
U.S. Bancorp is focused on enhancing its card business to further support its non-interest income growth, which is evident by its strategic collaborations. In August 2024, U.S. Bancorp collaborated with Edward Jones to offer comprehensive banking and credit card solutions to Edward Jones clients. This collaboration is in line with the U.S. Bank alliance strategy to broaden the company's regional reach and better serve its customers.
In June 2024, U.S. Bancorp partnered with Greenlight Financial Technology, Inc., allowing U.S. bank’s customers to have complimentary access to Greenlight’s debit card and money app, aiding more families to teach their kids and teens critical financial skills. U.S. Bank is the first financial institution to provide Greenlight with an embedded mobile app experience, leveraging Greenlight’s new software development kit.
By introducing these advanced product offerings, U.S. Bank is well-positioned to diversify its revenue streams and gain a competitive edge over its peers.
Shares of USB have gained 16.7% in the past three months compared with the industry’s growth of 7.3%.
Image: Bigstock
U.S. Bancorp's Arm Expands Credit Card Line With 2 New Launches
In a strategic move to enhance its offerings, U.S. Bancorp’s (USB - Free Report) banking subsidiary, U.S. Bank, is expanding its U.S. Bank Smartly product suite with two new launches — the U.S. Bank Smartly Visa Signature Card and U.S. Bank Smartly Savings.
These two products are designed to complement each other to maximize credit card rewards while helping clients conveniently increase their savings balances. By offering a suite of interconnected products, U.S. Bank aims to attract and retain clients through a comprehensive approach that rewards both spending and saving.
Some other major banks, such as The PNC Financial Services Group, Inc. (PNC - Free Report) and Wells Fargo & Company (WFC - Free Report) , also introduced new credit cards in May 2024. PNC Cash Unlimited Visa Signature credit card offers simple but valuable rewards with an unlimited 2% cash back on all eligible purchases. WFC’s Signify Business Cash World Elite Mastercard offers 2% unlimited cash rewards on business purchases.
Features of U.S. Bank Smartly Visa Signature Card & Smartly Savings
The U.S. Bank Smartly Visa Signature Card offers up to 4% cash back on all purchases, while the U.S. Bank Smartly Savings account provides competitive interest rates. Together, these products offer a comprehensive banking solution, enabling clients to effortlessly manage their finances at the same time maximizing cash-back rewards based on their total eligible balances with U.S. Bank.
By pairing the card with a Bank Smartly Savings account and maintaining average daily combined balances across U.S. Bank deposit, trust, or investment accounts, clients can boost their cash-back earnings. This can increase their cash-back rate up to 4% on all purchases — the highest available rate in the market. Reward levels rise in proportion to the cardholder's combined average daily eligible balance.
The Bank Smartly Savings account provides savers with competitive rates and the convenience of a traditional U.S. Bank savings account, allowing clients to maximize their earnings. When linked with the Bank Smartly Card or an eligible checking account, account holders can earn up to 4.1% annual percentage yield on their savings balances.
Smartly Visa Signature Card and U.S. Bank Smartly Savings mark an extension of the previous launch of Bank Smartly Checking and U.S. Bank Smartly Rewards. These launches highlight the U.S. Bank’s commitment to providing integrated financial solutions.
Arijit Roy, head of consumer and business banking products for U.S. Bank, said, “There has never been a better time to become a U.S. Bank client.” He also added, “U.S. Bank Smartly provides a simple, rewarding experience for our clients, with additional benefits based on their total relationship with us. Now, with the Bank Smartly Card and Bank Smartly Savings, clients can enjoy even more rewards that are focused on savings rates and making the most of credit card purchases.”
U.S. Bank’s Progress in Card Business
USB has been witnessing steady growth in its card business. As of June 30, 2024, card revenues comprised 14.9% of total non-interest income, reflecting a 4.9% rise from the same period in 2023. Additionally, credit card loans represented 31.5% of total loans ended June 30, 2024, up from 28.4% as of June 30, 2023.
U.S. Bancorp is focused on enhancing its card business to further support its non-interest income growth, which is evident by its strategic collaborations. In August 2024, U.S. Bancorp collaborated with Edward Jones to offer comprehensive banking and credit card solutions to Edward Jones clients. This collaboration is in line with the U.S. Bank alliance strategy to broaden the company's regional reach and better serve its customers.
In June 2024, U.S. Bancorp partnered with Greenlight Financial Technology, Inc., allowing U.S. bank’s customers to have complimentary access to Greenlight’s debit card and money app, aiding more families to teach their kids and teens critical financial skills. U.S. Bank is the first financial institution to provide Greenlight with an embedded mobile app experience, leveraging Greenlight’s new software development kit.
By introducing these advanced product offerings, U.S. Bank is well-positioned to diversify its revenue streams and gain a competitive edge over its peers.
Shares of USB have gained 16.7% in the past three months compared with the industry’s growth of 7.3%.
Image Source: Zacks Investment Research
At present, USB carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks Rank #1 (Strong Buy) stocks here.