Discover 2010 Annual Report Download - page 18

Fee Products
We market several fee-based products to our customers, including the following:
•Identity Theft Protection. The most comprehensive identity theft monitoring service we offer includes an initial credit
report, credit bureau report monitoring, prompt alerts that help customers spot possible identity theft quickly, identity
theft insurance up to $25,000 which may cover certain out of pocket expenses due to identity theft and access to
knowledgeable professionals who can provide information about identity theft issues.
•Payment Protection. This service allows customers to suspend their payments for up to two years, depending on the
product, in the event of certain covered events. Different products cover different events, such as unemployment,
disability or other life events. Depending on the product and availability under state laws, outstanding balances up
to certain amounts are cancelled in the event of death.
•Wallet Protection. This service offers one-call convenience if the customer’s wallet is lost or stolen, including
requesting cancellation and replacement of the customer’s credit and debit cards, monitoring the customer’s credit
bureau reports for 90 days, providing up to $100 to replace the customer’s wallet and, if needed, lending the
customer up to $1,000 in emergency cash.
•Credit ScoreTracker. This product offers customers resources that help them understand and monitor their credit
score. Credit ScoreTracker is specifically designed for score monitoring by alerting customers when their score
changes, allowing customers to set a target score and providing resources to help them understand the factors that
may be influencing their score.
•Extended Warranties. Discover customers can purchase online service warranties from Square Trade, our extended
warranty provider, to protect their purchases of new electronics and appliances from any retailer as well as certain
other purchases.
Brand and Advertising Management
We maintain a full-service, in-house direct marketing department charged with delivering integrated communications
to foster customer engagement with our products and services in addition to supervising external agencies. Our brand
team utilizes consumer insights to define our mass communication strategy, create multi-channel advertising messages
and develop marketing partnerships with sponsorship properties.
Customer Service
Our customers can contact our customer service personnel by calling 1-800-Discover. Credit card customers also can
manage their accounts online or through applications for their iPhone, Android or Blackberry mobile devices. Our
internet and mobile solutions offer a range of benefits, including:
• Online account services that allow customers to customize their accounts, choose how and when they pay their bills,
create annual account summaries that assist them with budgeting and taxes, research transaction details, initiate
transaction disputes, and chat with or email a customer representative;
• Email and mobile text reminders to help customers avoid fees and track big purchases or returns;
• Money management tools like the Spend Analyzer, Paydown Planner and Purchase Planner;
• Secure online account numbers that let customers shop online without ever revealing their actual account numbers;
and
• ShopDiscover, an online portal where customers automatically earn 5–20% Cashback Bonus when they shop at well-
known online merchants using their Discover card.
Processing Services
Processing services cover four functional areas: card personalization/embossing, print/mail, remittance processing
and document processing. Card personalization/embossing is responsible for the embossing and mailing of plastic credit
cards for new accounts, replacements and reissues, as well as gift cards. Print/mail specializes in statement and letter
printing and mailing for merchants and customers. Remittance processing, currently a function outsourced to a third-party
vendor, handles account payments and check processing. Document processing handles hard-copy forms, including
product enrollments and new account applications.
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