Stating it no longer was a core part of its main consumer credit card business, MBNA Europe Bank Ltd. has sold its small business credit card portfolio to Barclays Bank PLC, Barclays announced April 4.
The Bank of America Corp. subsidiary’s credit card portfolio consisted of some 60,000 accounts with approximately £130 million (US$212 million or 148 million euros) in outstanding balances as of Feb. 28.
Barclays would not disclose the purchase price, but it paid a small discount to the outstanding balances, a Barclays’ spokesperson tells PaymentsSource.
Barclays will integrate the portfolio into Barclaycard, the bank’s payment card division, and each former MBNA customer will be contacted individually to let them know their accounts would now be with Barclaycard, the spokesperson says. “We also will provide them with new Barclaycard products comparable to what they used with MBNA Europe,” he adds.
Barclays in March announced plans to purchase Citibank UK’s consumer credit card business, which consists of 1.15 million credit card accounts.
What do you think about this? Send us your feedback. Click
