Credit card issuer reports early success for new cell phone protection feature
Thousands take advantage before feature is even announced
DES MOINES, IA (February 16, 2017) — To enhance what is already a feature-rich credit card product, top-65 credit card issuer TMG Financial Services (TMGFS) has launched a cell phone protection option for the cardmembers of its Mastercard-branded ATIRAcredit Platinum Rewards card.
In exchange for paying monthly cell phone bills with their ATIRAcredit cards, cardmembers receive damage and theft protection for cell phone claims up to $200 each. Cellular Telephone Protection coverage applies to both the primary cell phone line and up to the first two secondary additional phones if they are on the same bill.
Response from cardmembers was immediate. Even before a marketing campaign to support the rollout had begun, TMGFS had already earned a 9-percent boost in the number of cardmembers using their ATIRAcredit cards to pay their monthly cellular phone bills.
TMGFS Product Manager Connie Thienes expects cardmembers will use the Cellular Telephone Protection coverage to supplement standard cell phone coverage. She believes those cardmembers who have experienced unexpected losses when a provider’s insurance failed to cover the costs of damage or theft to an eligible cell phone will be especially excited about this new feature. “The additional coverage may complement an existing coverage plan purchased from a cell phone provider. If that plan includes a deductible, the supplemental coverage can be used to cover that cost,” said Thienes, who noted certain terms, conditions and exclusions to the program may apply.
Citing an increasingly noisy credit card market, Thienes said winning consumers’ love and loyalty in today’s card game is all about the perks. “The credit card issuers that are best at securing top-of-wallet positioning typically offer ‘extras’ that exceed consumer’s expectations,” said Thienes. “When you can align those extras with profitable, responsible cardmember behavior, offering perks like this creates a win-win for the issuer and the consumer.”
ATIRAcredit cardmembers are largely credit union members who belong to cooperatives that have partnered with the agent-issuing company to grow and enhance their credit card offerings. They are credit unions like Metco Credit Union, an Iowa credit union that sold its credit card portfolio to TMGFS in 2009. CEO Brad Mertens and his staff continue to stay involved in the evolution of Metco’s credit card offering through the agent-issuing relationship.
“To be successful in today’s competitive credit card marketplace, you’ve got to be proactive,” said Mertens, who added that executing such a proactive strategy would be difficult without the support of TMGFS. “You can’t just throw out blanket promotions. Most of our success comes from our staff and the experts at TMGFS consistently scanning for opportunities to introduce the right members to the benefits of the ATIRAcredit Mastercard.”
TMGFS also issues the ATIRAcredit card to cardmembers of community banks, such as Bank of Nebraska, as well as member-centric organizations like the American Dental Hygienists Association.
About TMG Financial Services
TMG Financial Services (TMGFS) is known for providing collaborative, innovative and consumer-oriented solutions in the payments industry. With comprehensive credit card programs, products and services, TMGFS ensures financial institutions and member-based associations have the tools to thrive in the competitive financial services marketplace. TMGFS was named one of America’s fastest-growing companies by Inc. Magazine and currently has more than 127,500 credit cards and $198.8 million in assets under management. For more information, visit www.tmgfinancialservices.com.
