June 09, 2010
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News: U.S. Bank Becomes Issuer of Kroger Credit Cards
Kroger supermarket chain announced its agreement with U.S. Bank to market its credit card portfolio. The company previously teamed with RBS Citizens N.A. a subsidiary of the Royal Bank of Scotland in issuing the its cards. Also included in the agreement is the Kroger Personal Finance business which in addition to the Kroger credit card includes credit monitoring, identity theft protection, gift cards, money services, pet insurance, and prepaid debit cards. The Kroger credit card business is not the same product as the Kroger Plus shoppers' card which rewards loyal customers with points and special coupons and promotions. In the Mid Atlantic, Kroger has teamed with the educational system in offering its Kroger Mid Atlantic card which helps parents build a future for their children by providing schools a way to acquire more equipment and supplies.
A spokesperson for Kroger, Meghan Glynn said that the company has been banking with U.S. Bank for over 80 years and having them manage the store's credit card business is extension of an effective businesses relationship. Additionally, Glynn noted that the company has great hopes in working with U.S. Bank to expand its business by offering its customers a full suite of payment products. Kroger expects current credit card customers will have no difficulties during the transition and they will continue to experience the same quality service as always. A U.S. Bank spokesperson, Terry Charest said U.S. Bank has will build upon its legacy in Cincinnati which goes as far back as its predecessor Star Bank, to make it the right choice for Kroger.
Jim Geeslin, Chief Strategy Officer in Retail Payments for the Minneapolis-based banking company said Kroger's decision to change its credit card provider involved a selection process that lasted over several months before announcing U.S. Bank as its final choice. According to Geeslin, the bank's plan is to make changes over a period of time. Kroger customers will find the most noticeable ones will be product enhancements and with both credit and prepaid payment products. Kroger supermarkets are headquartered in Cincinnati and operates more than 2,400 supermarkets and multi-department stores within 31 U.S. states. Minneapolis-based U.S. Bank is the Tri-State's second-largest bank.