Why Your Mail is Full of Credit Card Offers

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A new Federal Reserve working paper is shedding light on credit card companies’ solicitation strategies.

Companies prefer to target potential borrowers based on credit score, however other data, like the amount of time since a personal bankruptcy filing, are also taken into account.

“Interestingly, several socioeconomic characteristics also appear to influence lenders’ offer decisions, even after controlling for credit histories,” the authors of the paper write.

Image via Flickr/Jon Parise

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