15% of current Chase credit card users are going to get the axe, Chase CEO Jamie Dimon announced in a shareholder letter this week. “In light of new regulations,” that forbid sucking in customers with zero-interest introductory rates and then ratcheting up lunatic penalty rates, “we deem them too risky.” Other highlights from the letter (PDF):
â€¢ We have substantially reduced very low introductory or promotional balance
transfers. This change alone reduced our outstanding balances by $20 billion.
â€¢ In the future, we no longer will be offering credit cards to approximately 15% of the customers to whom we currently offer them. This is mostly because we deem them too risky in light of new regulations restricting our ability to make adjustments over time as the client’s risk profile changes.
â€¢ We reduced limits on credit lines, and we canceled credit cards for customers who had not done business with us over an extended period.
This week Chase also announced first-quarter profits rose 55%. And recently, someone left a giant pile of manure inside a Chase ATM vestibule.