The 193,000 member, $2.1 billion Coastal Federal Credit Union has launched a credit card specifically aimed at helping members meet finance purchases of big ticket items such as appliances and furniture.
Dubbed the Big Ticket Card, the new Visa branded card offers members six months of zero interest on all purchases of $600 or more.
The innovative aspect of this card is that it does not limit the number of times a user can take advantage of the six month interest free financing.
“The Big Ticket Card is a great option for members who need to make a big purchase,” said Willard Ross, Coastal’s chief retail officer. “Members now have the ability to purchase a new flat screen TV or a new washing machine at any retailer that accepts Visa, with the option to pay it all off over the six month interest-free period. This unique feature opens up the opportunity for our membership to shop with peace of mind by shopping for the best price without being tied to in-store financing.”
Coastal's Marketing Manager Joe Mecca explained that the card, which still carries a credit limit, is aimed at members who had purchased new homes, put a child into college or otherwise faced a series of larger purchases or needs.
“We wanted to help members make purchase decisions based on price and not on whether a given retailer will provide financing or not,” Mecca explained, adding that members had been making purchases at higher cost retailers solely because they provided interest free financing where other, less expensive ones, did not. “We want to make sure our members walked into a retailer knowing they had the best deal on financing their purchase in their back pockets already.”
Mecca said the credit union doesn't yet have data showing how many members have applied for the card but reported that more than 5% of members who were sent an email introducing the card clicked through to the application.