Sallie Mae, an industry student loan lending giant, recently launched a trio of credit cards. According to sources, the company aims to cater to millennials, specifically college students, fresh graduates, and young professionals.
The lending giant’s trio of credit cards include the Ignite, Accelerate, and Evolve variants under Mastercard. NBC News reports that these cards require no annual fees and provide cash back offerings and rewards with the consumer’s every purchase.
In addition, both the Ignite and Accelerate cards provide bonus reward points to encourage responsible spending and financial management states NBC News.
Credit Card Features
Aside from having no annual fees, the credit card line launched by the firm also highlights low-interest rates after the initial 0% APR valid for 6 months.
For millennials, college students and graduates, and young professionals who are still paying off student debt, the card comes with a self-regulating application, notes USA Today.
Standing Out from the Crowd
USA Today mentions the difficulty of permeating the credit market and staying relevant against the numerous competitors. In an interview with USA Today, Matt Schulz, a chief industry analyst at CompareCards, said “I would imagine that it’s going to be challenging for these cards to make a big splash. This is clearly Sallie Mae wanting to establish themselves as more than just a student loan company.”
Despite highlighting features that cater to a specific target market, a representative from the lending firm states that they are not trying to go against and compete with the more established cards. Instead, they are simply trying to “diversify the business to meet the needs of our customers after high school and college,” states chief marketing officer Donna Vieira.
The trio of offerings is currently only available to existing borrowers. However, Sallie Mae plans to formally launch the cards to the public come July.
