Major Credit Card Issuers Target Wealthy While Tightening Requirements for Other Borrowers

Some of the biggest banks in the U.S. are targeting wealthier clients with new credit card offerings while raising the bar for “lower-end customers” to qualify for one of their cards, according to recent findings from The Wall Street Journal. 

The move represents a shift in lending strategy that issuers of all sizes stand to benefit from when it comes to managing risk.

The credit card space isn’t necessarily a copycat industry where smaller issuers mimic the moves of larger ones without considering the consequences. But when a handful of the country’s largest banks are employing similar strategies in regard to their card lending portfolios, then their smaller counterparts may want to take notice.

After all, top credit card issuers have grown by consistently making more sound lending decisions than poor ones. Smaller issuers may now be able to piggyback on those lessons, leveraging insights gained from the larger issuers’ research.

The major issuers covered in the WSJ report, including American Express, Bank of America, and Wells Fargo, opened fewer cards in 2025’s second quarter than they did during the same quarter in 2024. Those companies own some of the largest credit card loan portfolios in the country.

Credit card account openings declined during the second quarter for some of the country’s largest issuers.

Lenders “raised qualification requirements for lower-end customers that tend to be at greater risk of missing payments,” the report said. 

At the same time, credit card issuers are rolling out enhanced premium card offerings to target wealthier clients. 

“The highest, fastest-growing part of our card business has been with the heavier spenders,” Richard Fairbank, Capital One’s CEO, said on a call last week, according to the WSJ report.

Fairbank’s company just opened its latest airport lounge, which also happens to be the company’s largest lounge yet, in the John F. Kennedy International Airport in New York. Cardholders of certain Capital One premium cards receive complimentary access to the lounge and others like it in Capital One’s lounge network.

Rising delinquencies support the decision by major issuers to tighten lending standards. Card delinquencies in the U.S. rose to 2.79% in June, up from 2.33% in May. Charge-offs also ticked up slightly in June.

Credit card issuers can offer customers educational materials to help them learn how to manage their card accounts and spend within their limits. But when that doesn’t work, issuers may have to take more control of the situation by reviewing their lending standards and reigning in practices that offered credit too liberally.

An overview of issuer marketing practices earlier this year highlights their current approach to lending. The WSJ story reveals that 87% of card-related mail sent to consumers in April went to people who already met certain criteria.

And a recent study outlines the important role wealthy borrowers can play in boosting revenues for issuers. In the U.S., the top 10% of earners now account for more than 49% of spending in the country.

Many issuers are happy to have responsible borrowers of all income levels as customers. But the data suggests that issuers should review their product lineups to ensure they offer the benefits and features that high-end customers seek.

Issuers that have a wealthier customer base may be better positioned to withstand economic downturns that can cause lower-income customers to pull back on spending.