Question

Credit cards issued in conjunction with particular charities or organizations, like the Sierra Club or the Humane Society, that send a portion of their annual fee or percentage of their purchases back to the sponsoring organization are known as_______.
A) premium cards.
B) prestige cards.
C) affinity cards.
D) secured credit cards.

Answer 1

Answer:

C) affinity cards

Explanation:

Affinity credit cards are very useful and good for the banks (gives them good rep) and the charities make some money with them, but they are not very good for the clients that use them. Banks never lose money, so whatever amount they give to charities they will recoup it from their clients either by charging higher interest rates and fees, or offering fewer perks to their clients. Also the amount given to charities is usually very small.