GE Capital Retail Finance and Alliance Data Systems Corp. on May 24 each announced extensions to long-term proprietary card programs.
Their announcements illustrate how certain private-label card issuers continue to generate profits despite a slowdown in overall consumer credit card use.
GE Capital Finance extended a 12-year-old agreement with the 1,239-store Men’s Wearhouse Inc. to continue providing the Houston-based retail chain’s private-label card for another seven years, the company said in a press release. The Men’s Wearhouse Perfect Fit credit card enables cardholders to earn a 5% discount on purchases made at the company’s stores and through its website, along with a $50 reward certificate for every $500 spent and discounts on formalwear rentals.
Alliance Data Systems Corp. also announced it has extended its agreement to provide private-label credit card services in the U.S. for Victoria’s Secret, a subsidiary of Limited Brands Inc. that operates through a website and 1,000 U.S. lingerie stores. Alliance Data declined to specify the length of the agreement, but in a press release characterized the deal as “long-term.”
