New Credit Program Aimed at Airline Mileage Junkies; Features Industry's First
Automated Balance Transfer Functionality
NEW YORK, Dec. 6 /PRNewswire-FirstCall/ -- E*TRADE FINANCIAL Corporation
(NYSE: ET) today launched the E*TRADE Mileage Maximizer Account featuring a
proprietary, automated credit card balance transfer system(1) that enables
customers who are loyal to their branded airline mileage rewards credit cards
to enjoy mileage earning benefits without paying high interest rates on the
balances they carry. With this new account, customers use an intelligent,
easy-to-use system to arrange a systematic balance transfer from their high
interest credit cards to a low interest credit account at E*TRADE. The
E*TRADE Mileage Maximizer Account continues the Company's deployment of
customer advocacy tools and programs designed to provide customers with the
opportunity to optimize their financial portfolios, ensuring effective use of
their cash and credit.
"Consumers are seeking practical ways to manage their personal finances,
including better alternatives to managing their credit card debt," said R.
Jarrett Lilien, President and Chief Operating Officer, E*TRADE FINANCIAL
Corporation. "As part of our integrated approach to personal finance
management, the E*TRADE Mileage Maximizer Account offers consumers the ability
to manage debt in a more effective, intelligent manner without interfering
with their ability to earn rewards with other credit cards."
E*TRADE FINANCIAL is leveraging its dynamic money movement technology to
assist customers in effectively managing their credit card debt. Through a
simple online process the customer manages directly, they can designate
automated monthly balance transfers from their airline rewards credit cards to
a lower-rate E*TRADE account, swapping a higher interest rate -- on average
16.99 percent APR(2) -- for a lower balance transfer rate of 8.9 percent APR
with no annual fee or balance transfer fee.
The online set-up process provides customers with the opportunity to set
their payment preference -- pay off the entire balance, a pre-set amount, or a
percentage of the new statement balance. Once enrolled, E*TRADE's proprietary
balance transfer system monitors the customer's airline rewards card balance
on a daily basis to determine the payment due date. When the system learns of
a new payment due date, it schedules a transfer and sends the customer an
electronic notification of the planned transfer. Customers may edit or cancel
a particular transfer up until the date it is completed. Once the transfer is
complete, the system sends the customer an electronic confirmation. Even
though a customer's credit card balance and payment due date may change from
month to month, the E*TRADE Mileage Maximizer Account's balance transfer
system can be set to automatically ensure accurate, timely payments.
With an annual percentage rate of prime plus 1.9 percent on balance
transfers, the E*TRADE Mileage Maximizer Account offers an easy and convenient
way for consumers to more efficiently manage their credit card debt. Consumers
interested in applying for or reviewing the program details of the E*TRADE
Mileage Maximizer Account should visit http://www.etrade.com/maximizer.
About E*TRADE FINANCIAL
The E*TRADE FINANCIAL family of companies provides financial services
including trading, investing, banking and lending for retail and institutional
customers. Securities products and services are offered by E*TRADE Securities
LLC (Member NASD/SIPC). Bank and lending products and services are offered by
E*TRADE Bank, a Federal savings bank, Member FDIC, or its subsidiaries.
(1) Customers can initiate Balance Transfers to their E*TRADE Mileage
Maximizer Account individually as one-time transfers (one-time
transfer has a minimum of $100) or they may request that transfers
occur on a recurring basis by using E*TRADE's Automatic Balance
Transfer System.
(2) APRs and savings claim based on competitor rate comparisons as of
November 15, 2005.
Important Notices
E*TRADE FINANCIAL and the E*TRADE FINANCIAL logo are registered trademarks
or trademarks of E*TRADE FINANCIAL Corporation. The statements contained in
this news release that are forward-looking are based on current expectations
that are subject to a number of uncertainties and risks, and actual results
may differ materially. The uncertainties and risks include, but are not
limited to, changes in market activity, anticipated increases in the rate of
new customer acquisition, the conversion of new visitors to the site to
customers, the activity of customers and assets held at the institution,
seasonality, the development and enhancement of products and services,
competitive pressures (including price competition), system failures, economic
and political conditions, changes in consumer behavior and the introduction of
competing products having technological and/or other advantages. Further
information about these risks and uncertainties can be found in the
information included in the annual reports previously filed by E*TRADE Group,
Inc. or E*TRADE FINANCIAL Corporation with the SEC on Form 10-K (including
information under the caption "Risk Factors") and quarterly reports on Form
10-Q.
E*TRADE FINANCIAL Media Contact
Pam Erickson
E*TRADE FINANCIAL Corporation
617-296-6080
pam.erickson@etrade.com
E*TRADE FINANCIAL Investor Relations Contact
Adam Townsend
E*TRADE FINANCIAL Corporation
703-236-8719
adam.townsend@etrade.com
SOURCE E*TRADE FINANCIAL Corporation
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Related links:
http://www.etrade.com
CONTACT:
media, Pam Erickson, +1-617-296-6080, or
pam.erickson@etrade.com, or investors, Adam Townsend,
+1-703-236-8719, or adam.townsend@etrade.com, both of E*TRADE
FINANCIAL Corporation
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