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Discover Credit Card Targets Small Firms
Discover Financial Services is launching a credit card aimed at small-business owners, making it the latest financial institution to pursue potential customers who still pay for goods with old-fashioned checks and cash.Discover, a unit of Morgan Stanley that issues consumer credit cards and runs a network to process card transactions, is expected today to unveil the business card. The card won’t carry an annual fee and will include a cash-back rewards program that gives customers different amounts of cash depending on the kinds of purchases they make.
Business customers are particularly important for the credit-card industry because the consumer market is already saturated with plastic. Financial institutions that issue credit cards collect bigger fees from merchants when customers use a business card rather than a personal card.
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