Columbia/HCA Introduces Nationwide Affinity Credit Card Program

Strategic Insights -

Columbia/HCA Healthcare Corporation, in partnership with People's Bank and Visa U.S.A., has introduced the first nationwide affinity credit card program, which aims to benefit local community programs in Columbia/HCA markets across the country. The program, which targets employees, Senior Friends members, physicians, and volunteers, is expected to generate 100,000 credit card accounts and contribute approximately $1 million to community organizations annually.

Key Takeaways:

  • The Columbia/HCA nationwide affinity credit card program is the first of its kind, offered by a major private-sector corporation, and will benefit local community programs in Columbia/HCA markets across the country.
  • The program aims to generate 100,000 credit card accounts and contribute approximately $1 million to community organizations annually.
  • The cardholders will have the advantage of a no annual fee card with an introductory annual percentage rate (APR) of 9.9 percent on purchases and balance transfers until March 1996.
  • The program marks the first time that a major corporation, its employees, and others have made such a tremendous commitment to community reinvestment with an affinity card.
  • Columbia/HCA, as the nation's largest healthcare services provider, has more than 213,000 employees, 325 acute-care and specialty hospitals in 36 states and two foreign countries.
  • People's Bank, with assets of $6.6 billion and a managed credit card portfolio of $1.7 billion, specializes in credit cards with low fixed rates.
  • Visa, the world's largest consumer payment system provider, has 19,000 member financial institutions worldwide, serving more than 12 million merchants and 405 million cards worldwide.

Statistics:

  • The program is expected to generate 100,000 credit card accounts.
  • The program is expected to contribute approximately $1 million to community organizations annually.
  • The cardholders will utilize a no annual fee card with an introductory APR of 9.9 percent on purchases and balance transfers until March 1996.
  • Columbia/HCA has more than 213,000 employees.
  • Columbia/HCA has 325 acute-care and specialty hospitals in 36 states and two foreign countries.
  • People's Bank has assets of $6.6 billion.
  • People's Bank has a managed credit card portfolio of $1.7 billion.
  • Visa has 19,000 member financial institutions worldwide.
  • Visa serves more than 12 million merchants worldwide.
  • Visa has 405 million cards in circulation worldwide.
  • Visa card transactions totaled more than $630 billion worldwide in 1994.

Sources:

  • [People's Bank and Visa U.S.A. press release, dated Aug. 10, 1995]
  • [Columbia/HCA press release, dated Aug. 10, 1995]
  • [Gallup surveys, 1995]
  • [Visa U.S.A. press release, dated Aug. 10, 1995]
  • [People's Bank annual report, 1994]
  • [Visa U.S.A. annual report, 1994]
  • [Columbia/HCA annual report, 1994]