A consultant in credit card lending suggested card issuers look to consumers with so-called "near prime" credit scores rather than trying to win the business of borrowers with the very highest credit scores.
"Everyone would love a portfolio of all Primes and Super Primes, but there are only so many of those to go around," Bob Hammer, founder and CEO at R.K. Hammer and Card Knowledge Factory, wrote in a paper released Friday that highlighted the possibilities that near prime cards represent.
Hammer stressed that each credit card lender would have to decide for themselves where to draw the line. However, generally, near prime borrowers have scores between 670 and 690 with payments no more than 30 days past due in the last year.
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