How does credit card website make money through affiliates?

[hxiong]

I'm just curious, how does a credit card website get paid when one of its affiliates makes a card sale? For instance, if the affiliate makes $60 commission, how much did the website earn from this performance? Your opinions/thoughts would be appreciate. Thank you.

 

[The Hulk]

If you sign up for Commission Junction they have some credit card affiliate programs. You can sign up with them and get all the info about the payment or commission you receive.

I don`t know what the credit card company gets exactly, but I don`t think it`s a simple amount. The person signing up for the credit card may not pay very much or anything at all for the initial sign up, but they may use that credit card for years and end up paying the cc company a lot of money in interest or fees over time.

 

[Niche48]

I think the credit card companies calculate the average lifetime value of a customer and determine the commissions they pay for an acquisition based on that.

 

[Mourao @ FlexOffers.com]

it really depends on the Issuer and the affiliate program you are with, issuers know which affiliate programs generate the most sales for them, as well as the fact that every credit card has a different payout.

There are many variables to the payout you receive as an affiliate but the ratio between you and your affiliate program is definitely in your favor.

 

[alexartis]

Your question is a bit more complicated than it might seem. It will depend on the card issuer, the specific card product, but will also be heavily dependent on the volume of the leads/approvals that the affiliate is generating for the card issuer. For example, if the affiliate is generating 100 card approvals a month versus only 1 card approval a month, the card issuer will be much more willing to pay a higher payout based on higher volume. Similar to the rest of the affiliate industry, the credit card affiliate business undoubtedly rewards affiliates who generate big volume with higher payouts, bonuses and extra attention.