BancVue to acquire large credit card portfolio from FDIC
02 September 2010 | 6652 views | 0
BancVue just announced as one of Inc. 500's fastest-growing private companies in America for the second year in a row, announced it has successfully negotiated the purchase of the Silverton credit card portfolio from the FDIC.
The portfolio is comprised of credit card accounts representing nearly 700 agent bank relationships and will be managed under the name "BancVue Card Assets," effectively doubling BancVue's client base.
According to Don Shafer, Chairman of BancVue, the company's mission is to empower community financial institutions to win the war against the mega banks. Shafer shared that one of the findings from their extensive consumer research was, "... if a community banking institution does not offer their own branded credit cards, then in the mind of the consumer that financial institution can't really be competitive when it comes to products when compared to a mega-bank. Our commitment is to deliver market ready solutions to our clients that will shatter that perception!"
Shafer says his excitement comes from knowing this acquisition will help BancVue empower its client partners to compete with megabank-branded credit cards.
"There are thousands of community financial institutions across the country that want to be full-service providers to their account holders," says Shafer, "and having their own branded card will help them be just that. In fact, we intend for these cards to become 'top of wallet,' literally replacing the cards branded by the megabanks."
For those institutions that may not want to build their own credit card portfolios, BancVue has teamed up with First Arkansas Bank & Trust (FAB&T) of Jacksonville, Arkansas to serve as a sponsor bank, therefore ensuring that every community financial institution can provide their own branded cards to their account holders.
Larry Wilson, FAB&T's Chairman and CEO, says, "... with the new BancVue card offerings, there is nothing stopping any financial institution, regardless of their asset size, from providing their own branded cards." Wilson believes that, "... for community banking institutions to better compete, we need to seek out like minded business partners to help us bring mega-bank type products to market."
Wilson added that he never imagined that his second-generation family owned bank would be in a position to help other community institutions like his own to be able to launch a new product offering.
Wilson further added, "It's great being part of a team that is totally focused on empowering other community financial institutions like FAB&T to compete against the big guys!"
BancVue will also be offering a full service card program for those community financial institutions that want to run their own credit card program as a direct issuer. More details on that program will be provided at a later date.