Discover 2015 Annual Report Download - page 7

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Value: In a competitive card market, part of how Discover provides value to cardmembers is
through innovative features and benefi ts. Our customers love free FICO® Credit Scores, which
we provide online and on monthly statements. Cardmembers made good use of this feature
in 2015, accessing their scores more than 400 million times. We also added “trending” so
customers can see how their FICO® Credit Score changes over time.
In 2015, we launched Freeze It, which works like a credit card “on/off switch” for
cardmembers who have misplaced their cards. For 2016, we plan to make free FICO®
Credit Scores available to even more consumers, and to continue to pursue additional
innovative features.
To make our rewards/service/value proposition more widely available, we have
expanded the breadth of our product line. The Discover it card continues to perform
well in the marketplace, and we expect the majority of our growth to come from this
fl agship product. We expect additional growth from our Discover it Miles card, which was
launched in 2015 and combines fl exible travel and unlimited miles with the features of
the Discover it card.
In January 2016, we launched the Discover it Secured Credit Card for consumers looking
to build or rebuild their credit. The card comes with the same rewards and benefi ts as
the Discover it card and also has no annual fee.
Personal loans
Discover is an industry leader in “prime” personal loans. In 2015, we originated a record
$3 billion in personal loans and grew total loans by 10%. Looking ahead, we expect to
originate even more personal loans in 2016. We believe our brand, disciplined underwriting
and “originate to hold” model will continue to allow us to compete very eff ectively.
Private student loans
In private student lending, Discover is one of the three largest competitors. Our private
student loan business produced record originations in 2015 and continues to maintain
strong credit performance. Overall, we continue to believe that private student loans are
a good growth opportunity given our market position and trends in the industry.