Banker S.A. September 2012 | Page 59

Crowd-sourced credit card Billed by Barclays US as the first “crowd-sourced” credit card, the new Barclaycard Ring MasterCard allows cardholders a say — up to a point — in how it is managed, serviced and even marketed by participating in an online community. ‘This could be a major step in the likely application of “crowdsourced everything” to consumer credit,’ says Wharton business and public policy professor Jeremy Tobacman. T he product opened to the general public in April [2012]. It comes with an 8% APR that applies to all balances, including purchases, transfers and cash advances. There’s no annual fee and customers won’t have to pay a penalty APR if they default. ‘When we were developing this product, we were looking for aspects of credit cards that are often complicated to explain to the customer,’ says Jared Young, senior director of consumer markets for Barclaycard. ‘Even if [these features] made us a little bit of revenue, we decided to pull them out and make it as simple as possible.’ The card’s website is unclear about exactly what influence card holders will have, but it shows a sample discussion page with a query for users about how active community members should be rew