Media Centre

13th April 2012
Capital One takes cashback to a new level

• The newly launched Aspire® Elite offers 5% introductory cashback rate and up to 2% thereafter plus a 24 hour concierge service
• Aspire World offers 5% introductory cashback rate and up to 1.25% unlimited cashback thereafter

Capital One is taking the growing credit card cashback market to a new level with the launch of the Aspire range, including the new Aspire Elite card which provides a 24-hour concierge service as well as cashback on all purchases - regardless of where you spend.

It is expanding its existing cashback offer by tailoring cards to different needs, enabling customers to choose the level of benefits they want and the amount of cashback they can earn.

The new Aspire Elite card rewards high spenders with 5% cashback for the first three months, capped at £200, and up to 2% unlimited cashback thereafter. Customers of this premium credit card will also benefit from a 24 hour concierge service to arrange anything from hard to find gifts and hotel bookings to restaurants and flights. The card also comes with purchase protection, extended warranty and best price protection. There is an annual fee of £120. Aspire Elite is a World Elite MasterCard ® product.

Alternatively, the Aspire World card pays 5% cashback capped at £100 for the first three months and up to 1.25% unlimited cashback thereafter. It offers an Identity Alert service provided by Equifax and there is no annual fee. Aspire World is a World MasterCard ® product.

Capital One is helping applicants choose which card suits them with a calculator on its website capitalone.co.uk/aspire  showing how much cashback they can earn based on their estimated monthly spend.

Michael Woodburn, Chief Marketing Officer, Capital One said: “Why wouldn’t you get cashback on all your spending? The Aspire range aims to bring a new dimension to the cashback market. If you pay your balance off in full every month then it’s a no brainer to take out the Aspire World product which has no annual fee but pays out up to 1.25% cashback and gives you cash regardless of where you spend.

For heavy spenders, the new Aspire Elite boosts the cashback to up to 2% - again regardless of where you spend. It also offers a great package of valuable benefits particularly targeted at higher income customers. 

These products are terrific on going value, but we recognise that customers want something extra. That’s why both products carry 5% cashback for the first three months.  Why wouldn’t you apply?"

The new Aspire cards from Capital One offer some of the highest rates of cashback on the market, and, unlike some other cashback credit cards, are almost universally accepted by merchants.

Capital One Aspire Elite card details:

• 5% cashback on all purchases for the first 99 days up to the value of £200
• 1% cashback on all subsequent purchases up to the next £15,000
• 2% cashback on all purchases from £15,000 - £50,000
• 1.35% cashback on all spending over the value of £50,000
• Concierge service including a dedicated team of experts on hand to organise everything from theatre trips and holidays to gifts
• Identity Alert service provided by Equifax. This provides customers with an early warning service against identity theft
• Purchase Protection Insurance covering many purchased items against accidental damage, fire and theft
• Extended Warranty on a wide range of electrical goods purchased with the Aspire Elite Card
• Best Price Protection which covers many products worth £50 or more. Should customers find the same product in another shop in their country of residence £50 or more cheaper the difference will be refunded
• Credit limit of £12,000
• 17.6% p.a. interest on purchases and balance transfers
• £120 annual fee

Capital One Aspire World:

• 5% cashback on all purchases over the first three months up to £100, after which time the following tiered rate will be applied:
• 0.5% on all purchases up to £5,999.99 each year 
• 1% on all purchases from £6,000 to £9,999.99 each year
• 1.25% on all purchases from £10,000 each year
• No annual fee
• Identity Alert service provided by Equifax. This provides customers with an early warning service against identity theft
• 19.9% p.a. variable on purchases and balance transfers

Notes to editors
Representative Example: Assuming a credit limit of £1,200, an interest rate on purchases of 19.94% p.a. variable, you will receive a 19.9% APR representative variable.
For further information contact:
Patrick Evans / Ewan Robertson
Citigate Dewe Rogerson
020 7638 9571
AllCDRCapitalOne@citigatedr.co.uk

Or

Becky Stevens
Capital One
Tel: 0115 843 6484

About MasterCard
MasterCard (NYSE: MA), www.mastercard.com, is a global payments and technology company. It operates the world’s fastest payments processing network, connecting consumers, financial institutions, merchants, governments and businesses in more than 210 countries and territories. MasterCard’s products and solutions make everyday commerce activities - such as shopping, traveling, running a business and managing finances - easier, more secure and more efficient for everyone. Follow us on Twitter @MasterCardNews, join the conversation on The Heart of Commerce Blog and subscribe for the latest news.
MasterCard is a registered trademark of MasterCard International Incorporated.

15th February 2012
Report highlights need for a new approach to micro-business funding

• One in four (28%) micro-businesses1 expect to fold by 2014 and one in six by the end of the year
• One in three (37%) found it harder to fund their business in the past 12 months
• Micro-businesses account for 95% of UK companies, employ seven million people and currently contribute over £600bn to the UK economy
• Capital One launches new cashback credit card designed to help micro-businesses manage their finances

A new report by Professor Francis Greene, Associate Professor of Enterprise at Warwick Business School outlines strategies for UK micro-businesses to weather the economic storm as research2 shows that over a quarter (28%) in the UK expect to fold within the next two years.

Research conducted for the report also shows that over a third (37%) of micro-businesses have found it harder to fund their business over the past 12 months and one in five (19%) has no credit balance available in their main bank account, leaving them highly vulnerable to closure

Commissioned by credit card company Capital One, which has launched a new Business Platinum credit card specifically for micro-business owners and the self-employed, the report investigates how micro-businesses are coping with the economic conditions and recommends ways their survival can be promoted.

Micro-businesses account for 95% per cent of UK companies, employ seven million people and currently contribute over £600bn to the UK economy.

The report found that the vast majority (98%) has no intention of applying for bank loan finance over the next 12 months. Indeed, half (50%) of micro-businesses rely on personal sources of finance to fund their cashflow needs and of these a quarter (25%) use a credit card and 17% an overdraft.

Professor Greene, Warwick Business School said: "Micro-businesses are the backbone of the UK economy yet they face real challenges in surviving in today's climate. In order to provide micro-businesses with effective support we need to understand their immediate needs. Micro-businesses have no intention of applying for bank loan finance to fund their business needs. Instead they are relying on a mixture of savings and short term external finance, mostly in the form of credit cards."

Offering microbusiness owners more control over their business finances
Capital One has launched a Business Platinum credit card designed to help micro-business owners and the self-employed by offering access to all-important day-to-day credit and, at the same time, giving them rewards on their business spend. The Capital One Business Platinum credit card has no annual fee and offers five per cent cashback on all purchases over the first three months (up to a maximum of £100 cashback) and up to 1.25% unlimited cashback thereafter, with a rate of 16.9% p.a variable on purchases and balance transfers.

The Capital One Business Platinum credit card is for applicants with a perfect credit history. Applications are based on the individual's credit score rather than that of their business, the card is issued in their name and they are personally responsible for repayments. The card also gives them the option of adding a further three cardholders to the account.

Brian Cole, Managing Director, Capital One said: "We are responding to a growing number of micro-businesses and self-employed people that are looking for a credit card that reflects their specific requirements. The Business Platinum card provides the UK's micro-business and self-employed community with a highly attractive combination of benefits including a great cashback rate. This new card reflects our commitment to micro-business owners by introducing what is currently the only cashback business card in the UK market."

Professor Greene continued: "Ultimately it's up to micro-businesses to create their own survival plan and in this regard there is clear evidence of a financial skills gap. Given that financial literacy is even more important in challenging economic times, there are several practical and common sense ways in which micro-businesses can better manage their housekeeping and succeed in these tough times."

Recommendations to support micro-businesses:
Professor Greene's report calls for existing business advice services to be better promoted to help micro-businesses access the support available. It also offers micro-businesses some practical and common-sense ways in which they can manage their cashflow and therefore increase their chances of survival:

• Visit customers and check on new customers to encourage them to pay their bills on time
• Use credit agencies to check the credit worthiness of customers
• Consider collecting invoices via email and the internet
• Invoice within a day of the chargeable event
• Ensure that the fulfilment, shipping and handling of orders is done as efficiently as possible
• Shorten the collection period
• Charge interest for late payment
• Develop an accounts receivable ageing profile so that late paying debtors can be easily identified
• Offer discounts for prompt payment

Visit www.capitalone.co.uk/business for detailed information on the Capital One Business Platinum Credit Card.

View a full copy of the report here

¹The often-overlooked 4.3m businesses with fewer than 10 employees that represent 95% of UK enterprises and employ nearly a third of the private sector workforce (according to the Department of Business, Information and Skills, 2011).

²Research commissioned among 1,000 micro-businesses by YouGov between 9 ? 23 December 2012.

Notes to editors

Representative Example: Assuming a credit limit of £1,200, an interest rate on purchases of 16.94% p.a. variable, you will receive a 16.9% APR representative variable.

For further information contact:

Patrick Evans / Ewan Robertson
Citigate Dewe Rogerson
020 7638 9571
AllCDRCapitalOne@citigatedr.co.uk

Or

Becky Stevens
Capital One
Tel: 0115 843 6484

30th December 2011
Brits spend £562 million a year 'subbing' friends who don't carry cash

• One in six Brits don't carry cash on them
• Cash carriers who sub friends spend £102 a year on tips, taxis, cash-bars and the like
• 2 million people avoid carrying cash in the hope that others will foot the bill
• 23% avoid carrying cash because they spend it less efficiently
• Capital One World? MasterCard® offers up to 5% cash back on all purchases for the first three months (max £100) and up to 1.25%1 unlimited thereafter. 19.9% APR representative (variable)

Cash-carrying Britons are being left to foot a £562 million a year bill as a result of 'subbing' friends as almost half (43%) say they never receive a penny of this borrowed money back, according to new research from Capital One1.

In the past three months, 41% of Britons have been obliged to cover the cost of taxi fares, restaurant tips, drinks and other cash purchases because the people they were with were not carrying any cash. On average those generous enough to sub their non-cash carrying pals spend roughly £102 a year doing so. However for one in ten of these people, this rises to between £204 and £400 a year.

Careless with cash

In the past three months alone, 6.4 million (13%) Brits have lost money because it has fallen out of their bag or wallet and 3.5 million (7%) have overpaid or tipped more than they would if they'd paid by card simply because they had cash in hand.

According to the findings, almost a quarter (23%) of people avoid carrying too much cash because it encourages them to spend more and around 32% say they prefer to pay with a credit or debit card because it enables them to keep a clear record of their outgoings. A cheeky 4% - equivalent to roughly 2 million Brits - even admit to purposefully avoiding carrying cash when they are short of money in the hope that others will foot the bill.

Michael Woodburn, Chief Marketing Officer, Capital One said: "It's always a good idea to carry some cash with you to avoid getting caught short. Millions of people are actually ending up out of pocket because they are shelling out on behalf of others, overspending or even misplacing their money. "At times like these people are always looking for ways to make their money go that bit further, so it's worth bearing in mind that you could be missing out on numerous benefits and rewards by not using a card. A prime example is Capital One's new World MasterCard Credit Card, which rewards customers with up to five per cent cash back whenever they make a purchase."

Capital One asked respondents which items they had paid for on behalf of others who did not have cash in the past three months:
Drinks in cash-only bars/restaurants	18%
Items bought in cash-only stores e.g. markets	13%
Tips in bars and restaurants	12%
Taxi fares	10%
Charity donations and fundraisers	6%
Items purchased with cash due to a minimum card spend	6%
Tolls and one-off/unexpected charges	6%

Notes to editors
¹The Capital One World MasterCard offers 5% cashback on all purchases over the first three months up to £100 and up to 1.25% unlimited cashback thereafter.

For purchases made after the first three months customers will receive the following tiered cashback rates:

• 0.5% on all purchases up to £5,999.99 each year
• 1% on all purchases from £6,000 to £9,999.99 each year
• 1.25% on all purchases from £10,000 each year

These rates are applicable until a customer reaches the anniversary of their account opening when they will begin earning cashback at 0.5%, increasing as they pass each threshold (see above).

The Capital One World MasterCard offers cardholders free access to its Identity Alert service provided by Equifax, which provides customers with an early warning service against identity theft. It has an interest rate of 19.9% p.a. variable on purchases and balance transfers.

²Vision Critical research interviewed 2,006 British adults aged 18+ via online omnibus on 25th November 2011.

For further information contact:

Patrick Evans/Katie Pugh
Citigate Dewe Rogerson
Tel: 020 7638 9571

Or

Becky Stevens
Capital One
Tel: 0115 843 6484

17th December 2011
Credit Made Clearer financial education initiative reveals new research and top tips for a happy financial Christmas

17th December 2011: Hard-pressed parents assume that their children have no idea how much it will cost them to make a happy Christmas ? but research out today reveals that children as young as five know how much Christmas will cost their family this year ... including all the trimmings.

The survey by credit card company Capital One, shows that 85 per cent of kids aged between 5 and 11 know that a standard turkey (2.5kg) costs 'up to £20', 79 per cent correctly identify that a Christmas pudding costs 'under £5' and 64 per cent know that that a Christmas Tree costs 'up to £30'.

Despite the average cost of family spending expected to fall this Christmas to around £692 from £1,278*, 1.3 million (32 per cent of all UK kids) accurately predict that Christmas costs a family more than £600, the equivalent to the cost of a family holiday.

The research also reveals that it's not just the trimmings they're knowledgeable about; children aged 5-11 were shown to be particularly astute and tech savvy when it comes to presents and gadgets - with 42 per cent knowing how much a Nintendo Wii costs (£109 RRP), as well as 38 per cent accurately confirming that an iPhone costs over £200.

Whilst clearly being surprisingly financially aware, thankfully there hasn't been a complete loss of child innocence with 67 per cent still believing that Father Christmas ?spends the most money on Christmas' and 8 per cent believing that Christmas costs as much as 'a flight into space'.

Judi James, behavioural expert says: "It's clearly a cliché to assume that kids have no real understanding of the cost of Christmas because some of the valuations in the survey would give adults a reasonable run for their money. This proves that ? unlike previous generations ? kids do seem to have acquired a very astute financial view of the festive period, being aware not just of the egocentric gain in terms of food and presents but also the amount needed to obtain them. This suggests good parenting in terms of messages of putting a price on pleasure, meaning we might just be breeding a generation of Alan Sugar-style entrepreneurs."

Capital One's Credit Made Clearer initiative features a series of short animated films offering consumers practical financial educational advice. Members of the public can access quick myth-busting films about the world of credit and managing money via facebook.com/capitaloneuk.

Michael Woodburn, Chief Marketing Officer for Capital One, says: "We all assume that Christmas is an exercise in financial management for adults. However, maybe if we involved kids more, there could be benefits all round. Financial education for our younger generation is extremely important. Our Credit Made Clearer videos encourage responsible spending, offering tips on a range of financial issues from the use of credit to how to shop safely online."

'Credit Made Clearer' festive shopping tips from Capital One:

• Ensure you stick to a budget and know your credit card limit before making Christmas purchases
• When shopping online, look for the padlock symbol in the browser window to ensure your data is kept away from prying eyes
• Register your cards with MasterCard SecureCode or Verified by Visa to add an extra layer of protection when shopping online
• Be aware of withdrawing cash on a credit card to buy gifts - you may be charged daily interest and a cash withdrawal fee even if you pay your balance in full each month
• Always leave some available credit on your credit card for any interest to be applied

For more information please contact:

Gemma Young - 0207 758 3909 - gemmay@launchgroup.co.uk
Charlotte Brooks- 020 7758 3914 - charlotteb@launchgroup.co.uk
Chloe Bishop - 020 7758 3900 - chloeb@launchgroup.co.uk

Notes to Editors:

Capital One commissioned Vision Critical to survey 1,000 children aged 5-11 years olds. Fieldwork was undertaken 21st Nov 2011.
*"Twenty million families cut costs this Christmas". Survey by Which? and MyVoucherCodes.co.uk. Nov 25, 2011.

About Credit Made Clearer:

Credit Made Clearer features a series of short animated films offering consumers practical tips and education about the world of credit and managing money. The films are available via:

• www.facebook.com/capitaloneuk
• www.youtube.com/creditmadeclearer
• www.capitalone.co.uk/creditmadeclearer

Using a simple animation style and humour to engage consumers, each film takes a look at the various aspects of financial well-being using characters such as Super Brummie, the Credit Aunties, a Russian billionaire and a few bean counters to bring the subject matter to life. Consumers can click between the films while they're playing to get the financial tips that are right for them.

9th November 2011
'Free' trials cost Britons an unwanted £251 million a year

• Six million Britons find themselves paying the price for 'free trials' every year
• One in 10 free trials never materialises and one in three results in unwanted charges

New research published by Capital One reveals the £251 million1 cost to Britons who sign up for so-called 'free trials' every year. These unwanted charges are the result of consumers inadvertently signing up for paid-for services or forgetting to cancel their free trial once the fee-free period has passed.

The findings are released as Capital One alerts consumers to the challenges associated with cancelling recurring payments. A recurring payment is when a customer authorises a merchant to take regular payments from their credit card (in a similar way that Direct Debits are taken from a current account). Capital One has found that many consumers unknowingly commit to these payments, often through signing up to free trials, which they can subsequently find hard to cancel if their credit card company or bank doesn't help them.

In the past year over 18.5 million (37%) people have signed up for free trials, such as online DVD rentals and free anti-virus software, but Capital One's research suggests that 84% of these didn't fully understand the merchants' terms and conditions when doing so.

Of those who signed up for a free trial in the past year, almost one in 10 said that free access to the promised product or service did not materialise and a quarter (26%) were bombarded with unwanted emails, text messages, calls and correspondence afterwards. Less than half (44%) said that they were happy with the free trial they had signed up to.

Many people who have signed up for a free trial in the past year say they got far more than they bargained for and were hit with unanticipated charges. Almost a quarter (23%), were forced to pay an average of £42.50 to merchants ? equivalent to £176 million in total because they forgot to cancel the service following the free trial period. A further 11% were charged an average of £35.20 because they unknowingly signed themselves up for a paid-for service, adding another £55 million to the free trial bill.

Recurring payments
The findings highlight that millions of Britons are unknowingly and unwillingly signing up for paid-for services, many of which involve a recurring payment. Of those that have intentionally signed up for a paid-for service, more than four million (9%) said they had issues with the recurring payment that this required.

People are committing themselves to payment programmes they do not understand - 84% of respondents had no idea what a recurring payment constitutes. Once this had been explained to them, three quarters (74%) said they would avoid setting up a recurring payment wherever possible.

Further highlighting the transparency issue that surrounds recurring payments, the research estimates that eight million Brits may have recurring payments set up at present that they are completely unaware of.

Michael Woodburn, Chief Marketing Officer, Capital One said: "At a time when incomes are being squeezed, genuine free trials are a great way of assessing the suitability of a product or service. However, our research shows that a significant portion of these trials are either not being delivered or result in unwanted costs."

For many online retailers recurring payments are standard practice ? Capital One analysis of 26 leading DVD rental, anti-virus software and dating sites showed that over half2 use recurring payments as the default option for payment.

Woodburn continued: "When implemented in a fair and transparent way, recurring payments can be an effective way for consumers to pay for products and services. Unfortunately some consumers run into difficulty when they want to cancel these payments. We want to do as much as we can to help our customers and that includes assisting them with the cancellation of a recurring payment or by blocking further charges from a merchant if they believe these are unreasonable."

Notes to editors
¹Vision Critical research surveyed 2,004 British adults aged 18+ via online omnibus on 10th October 2011. The results have been weighted to nationally representative criteria.
²Capital One conducted desk research of 26 leading online DVD rentals, free anti-virus software and dating sites during October 2011. Of these, 14 used recurring payments and nine provided customers with the option to pay using recurring payments or direct debit. Only three sites did not offer customers recurring payment options.

For further information contact:

Patrick Evans/Katie Pugh
Citigate Dewe Rogerson
Tel: 020 7638 9571

Or

Becky Stevens
Capital One
Tel: 0115 843 6484

1st December 2011
Gifting your way to the top

Bosses benefit from Christmas while partners lose out

1st December 2011:  Despite current money worries, research out today by credit card company Capital One reveals that over a quarter of all UK employees (27 per cent) will spend big on gifts for their boss this Christmas, in the hope of making a good impression and helping with job security.   

The research, commissioned to raise awareness of Capital One's ‘Credit Made Clearer' financial education initiative, reveals that while many bosses only expect a token gesture of around £5, the actual amount staff plan to spend individually on them is a surprising £27.40.

Perhaps more surprising is that, maybe due to generosity towards their boss, over 9 million of UK adults (26 per cent) do not plan to give their wives/husbands/partners a single present this Christmas - and what's more, 40 per cent do not expect to receive one. The study goes on to reveal that spending on Christmas gifts is expected to be down by almost £100 compared to last year (£443 this year compared to £541 in 2010).

The research also reveals the huge amount of pressure around spending money on gifts, with nearly 16 million people (44 per cent) feeling the burden of elaborate spending this Christmas. The biggest factors for this pressure include: not wanting people to think they're ‘cutting back' on spending (20 per cent), believing their family expect them to ‘spend a lot of money' (30 per cent) and the need to compensate for a ‘dreadful financial year' (18 per cent).

Judi James, behavioural expert says: "What bosses expect us to spend and what we intend to spend is clearly different. This means that while they're hoping for a token gesture, hence the current popularity of the Secret Santa gift, employees are unnecessarily showering the boss with presents in a bid to get noticed."

Credit Made Clearer features a series of short animated films offering consumers practical financial educational advice. Available via facebook.com/capitaloneuk, members of the public can access quick myth-busting films, about the world of credit and managing money.

Michael Woodburn, Chief Marketing Officer for Capital One, says: "We know how worrying Christmas can be for people and this research reveals an extraordinary shift in consumer spending trends at this time of year. To avoid overspending on the festivities we'd encourage people to work out their budget and stick to it.Our Credit Made Clearer videos encourage responsible spending, offering tips on a range of financial issues from how to shop safely online to what to do if you are struggling to meet payments."

For more information please contact:
Gemma Young - 0207 758 3909 -gemmay@launchgroup.co.uk
Charlotte Brooks - 020 7758 3914 - charlotteb@launchgroup.co.uk
Chloe Bishop - 020 7758 3900 - chloeb@launchgroup.co.uk

Notes to Editors:
Poll by Vision Critical surveying 2,000 UK adults in November 2011

About Credit Made Clearer:
Credit Made Clearer features a series of short animated films offering consumers practical tips and education about the world of credit and managing money. The films are available via:

• www.facebook.com/capitaloneuk
• www.youtube.com/creditmadeclearer
• www.capitalone.co.uk/creditmadeclearer

Using a simple animation style and humour to engage consumers, each film takes a look at the various aspects of financial well-being using characters such as Super Brummie, the Credit Aunties, a Russian billionaire and a few bean counters to bring the subject matter to life.  Consumers can click between the films while they're playing to get the financial tips that are right for them.

18 October 2011

The rise of 'smugging'(social media mugging): Social networking sites accessed over 60 million times without permission in the last year

• 1.9 profiles are smugged (social media mugged) every second
• One in ten victims of smugging say their ex-partner has logged into their account without prior consent
• All Capital One customers receive a dedicated named advisor if they are a victim of identity theft

As increasing numbers of Britons sign up to social networking sites, more and more are falling victim to a new phenomenon: smugging (social media mugging). New research from credit card provider Capital One reveals that social networks have been accessed without permission more than 60 million1 times in the last year ? the equivalent of 1.9 profiles smugged every second.

Given the popularity of Facebook amongst the UK population, it is perhaps not surprising 91% of smugging victims fell prey to smugging on their Facebook account. That's 16% of all Facebook users in Great Britain. However, 9% of all Twitter and 7% of all LinkedIn users claim their account has suffered a similar fate over the past 12 months.

The Capital One findings, released to coincide with National Identity Fraud Prevention Week, pinpoints ?friends' as the most common smugging culprits (36%). Obviously curious to see what their partner has been up to, one in five (21%) people say their partner has logged into their social networking account without prior consent. Yet more shockingly, one in 10 claim their ex-partner has accessed at least one of their accounts and then snooped around their profile.

On the whole, smuggers are opportunistic, taking advantage of others not logging out of their profile on their personal computer (29%) or mobile phone (15%). In comparison, only 5% say their account has been hacked into on purpose. However, it seems that those who have fallen prey to smugging don't learn from past experience ? on average their social networking profiles are accessed without their permission 9.9 times every year.

The most common results of smugging are posting an inappropriate comment or update on their victim's profile (43%), sending a message to their contacts (25%) or changing of personal details (24%).

While a smugging can seem like a harmless prank at the time, there are often serious repercussions: over 30,000 people have gotten into trouble at work and more than 18,000 believe they've been passed over for promotion because of smugging. Similarly, with a third (35%) of Britons keeping important details such as addresses, bank PIN codes or friends' contact details in their profiles, there is a real possibility that smugging can take a much more sinister turn and could result in identity theft.

Michael Woodburn, Chief Marketing Officer, Capital One said: "Social networking sites are a great way to stay in touch with friends and family. Yet in the excitement of connecting with those around us, remembering to protect your online profile can often take a back seat, which can leave people open to smugging, or worse, identity theft. Small actions like protecting your mobile with a password, using a password that is a combination of numbers and letters and regularly checking bank and credit card statements, can go a long way in helping people protect themselves against a smugging attack and identity theft."

The Capital One Identity Theft Assistance Service helps customers protect themselves against the risk of ID theft as well as helping them 'pick up the pieces' if they do encounter a problem. It is the only service of its kind to provide a named advisor free to offer assistance at every stage of the recovery and resolution process.

Capital One World MasterCard® customers also benefit from a free Identity Alert Service, powered by Equifax. Acting as an early warning system, customers are alerted by email within seven days if someone applies for credit using their name, or if key changes are made to their Equifax credit file with or without consent.

Notes to editors
¹Vision Critical research surveyed 2,384 British adults aged 18+ via online omnibus from 30 September ? 4 October 2011. The results have been weighted to nationally representative criteria.

For further information contact:

Patrick Evans/Katie Pugh
Citigate Dewe Rogerson
Tel: 020 7638 9571

Or

Becky Stevens
Capital One
Tel: 0115 843 6484

3rd October 2011
A present to myself: £1.6 billion spent on gifts for ourselves every month

• £62.70 spent by each 'self-gifting' Briton every month
• Men really are more self-indulgent than women splashing out £18 more a month on gifts for themselves
• Capital One World? MasterCard® offers up to 5% cash back on all purchases for the first three months (max £100) and upto 1.25% unlimited thereafter. 19.9% APR representative (variable)

New research published by Capital One reveals Britons spend £1.6 billion ² self-gifting, treating themselves to presents every month. Whether it is to put a smile on their face after a bad day at work, to celebrate losing weight, or a reward for promotion, Britons spend an average of £62.70 every month on gifts for themselves.

Men really are more self-indulgent than women, splashing out an average of £72.20 each month compared to women who spend just £54.20 on a treat for themselves. However, both sexes win out when purchasing personal gifts if they pay with a cash back credit card, which rewards them with money back on their spending.

Inspired by the likes of Sex in the City's Carrie Bradshaw and Gossip Girl's Blair Waldorf, women are most likely to spend money on clothes (67%) or shoes (41%) when buying gifts for themselves. Men are most likely to treat themselves by saving and then splurging on gadgets and technology such as iPads, iPods and games consoles (37%). For a staggering 8.1 million males, a new shirt or sharp suit is what really brightens their day, as one in three (35%) admit to rewarding themselves with clothes.

People are even splashing out on gifts to celebrate their own birthday or anniversary, with almost one-in-five (17%) treating themselves to mark a special occasion, even if they do end up buying and wrapping their own present.

Having the blues or a bad day is enough to send one in six (16%) people off to the shops for a spot of retail therapy to improve their mood. A further 13% of people are most likely to reward themselves after securing a pay rise or promotion. Never afraid to splash the cash, over a third (35%) of people also claim they don't need a reason to treat themselves.

Michael Woodburn, Chief Marketing Officer, Capital One said: "Consumers are spending £19.2 billion each year on treats for themselves in addition to all the necessities they would normally buy. The savviest of these consumers are benefiting financially when they treat themselves to a gift, by making sure they are paid cash back on their purchases and ensuring that they pay back in full each month. With Capital One's new World MasterCard card, customers are rewarded with up to five per cent1 cash back whenever they make a purchase, so everyday treats feel even more special. If you are going to splash out on a treat it is even better to be rewarded for it."

Notes to editors
¹The Capital One World MasterCard offers 5% cashback on all purchases over the first three months up to £100 and up to 1.25% unlimited cashback thereafter.

For purchases made after the first three months customers will receive the following tiered cashback rates:

• 0.5% on all purchases up to £5,999.99 each year
• 1% on all purchases from £6,000 to £9,999.99 each year
• 1.25% on all purchases from £10,000 each year

These rates are applicable until a customer reaches the anniversary of their account opening when they will begin earning cashback at 0.5%, increasing as they pass each threshold (see above).

The Capital One World MasterCard offers cardholders free access to its Identity Alert service provided by Equifax, which provides customers with an early warning service against identity theft. It has an interest rate of 19.9% p.a. variable on purchases and balance transfers.

²Vision Critical research surveyed 2,002 British adults aged 18+ via online omnibus from 26-31 August 2011. The results have been weighted to nationally representative criteria.

For further information contact:

Patrick Evans/Katie Pugh
Citigate Dewe Rogerson
Tel: 020 7638 9571

Or

Becky Stevens
Capital One
Tel: 0115 843 6484

Financial education tops 'birds and bees' as the hot summer discussion topic with kids - but parents don't know best

Released 16th July 2011

16 July 2011: Children may be desperate for the start of the summer holidays, but according to new research from credit card company Capital One, their lessons won't be ending as term comes to a close.

65 per cent of UK parents surveyed by Capital One say they plan to, or have already, sat down with their children to have a discussion about financial education - a figure that's now higher than the number of parents who plan to, or have done the same, for the big chat about the 'Birds and Bees' (i.e. sexual education)ⁱ.

The research, commissioned to raise awareness of Capital One's 'Credit Made Clearer' initiative, reveals that the vast majority of today's parents (over four in five, 81 per centⁱⁱ) think children should learn about finance directly from them. However, since 43 per cent of parents don't know what basic terms like 'APR' (Annual Percentage Rate) or 'PPI' (Payment Protection Insurance) stand for, they could be leaving the next generation short on financial understanding.

Brian Cole, Managing Director of Capital One, says: "It's encouraging to see that during difficult financial times, financial education is high on parents' agenda. However, it's clear that finance is a topic that some parents may need help on."

Cole continued, "We hope that our Credit Made Clearer programme, which features a series of short animated films that aim to help people improve their financial understanding, will arm parents with the knowledge they need."

In spite of lacking the basics when it comes to financial acronyms, more than half of parents (55 per cent) say they are not worried about how their children are going to manage their own finances when they are olderⁱⁱⁱ. However, nearly a quarter, 22 per cent, believe that children should learn about personal finance from TV programmes and soaps.
In addition:

• Around one in five^iv parents don't plan on sitting down and talking to their children about either sex education or money management at any point
• Nearly one in ten admits: "I don't feel I understand enough about my own finances, to be passing knowledge onto the next generation"

Help now available for parents
Credit Made Clearer features a series of short animated films offering consumers practical financial education. Available via www.facebook.com/capitaloneuk, members of the public can access quick myth-busting films, about the world of credit and managing money.

Using a simple animation style and humour to engage consumers, each film takes a look at the various aspects of financial well-being using characters such as Super Brummie, the Credit Aunties, a Russian billionaire and a few bean counters to bring the subject matter to life. Consumers can click between the films while they're playing to get the financial advice that's right for them.

Notes to Editors
ⁱ63 per cent of parents say they have, or are planning to, sit down with their children to teach them about sex education
ⁱⁱCapital One commissioned YouGov to survey 1, 276 parents in June 2011. Fieldwork was undertaken between 17th - 20th June 2011. The survey was carried out online
ⁱⁱⁱ44 per cent of parents said they were 'not very worried' and 11 per cent 'not at all worried' about their children's ability to manage their own finances when they are older
^iv22 per cent of parents say they don't plan to sit down with their children to teach them about financial education, and 23 per cent of parents said the same of sex education

Capital One launches new cashback card offering 5% on purchases everywhere

Released 13th July 2011

• No annual fee
• Free Capital One Identity Alert

Capital One has launched a new World^TM MasterCard® card offering 5% cashback on all purchases over the first three months up to £100 and up to 1.25% unlimited cashback thereafter.

As well as having one of the best cashback rates available and accepted almost everywhere¹ as opposed to a restricted number of retailers Capital One's new World MasterCard has no annual fee and offers free access to its Identity Alert service provided by Equifax. This provides customers with an early warning service against identity theft.

For purchases made after the first three months customers will receive the following tiered cashback rates:

• 0.5% on all purchases up to £5,999.99 each year
• 1% on all purchases from £6,000 to £9,999.99 each year
• 1.25% on all purchases from £10,000 each year

The launch of the new card follows research from Capital One that shows one in three credit cards applied for over the next three to 12 months is likely to be a cashback card, making it the most popular product amongst consumers.² Furthermore, the average credit card cashback customer uses their card for 52% of their monthly spending.

Reflecting the growing popularity of cashback cards, analysis of Moneyfacts data reveals that over the past two years the number of cashback cards has risen by 33%.³

Brian Cole, Managing Director, Capital One said: "The Capital One World MasterCard offers tremendous money saving opportunities through highly competitive cashback rates on purchases everywhere. Unlike some other cashback cards we offer our best rates on all purchases rather than those made at specific types of retailer.

It's no surprise that cashback credit cards have become increasingly popular as they offer potentially a better way of generating a return from spending than debit cards. We're expecting this card to generate a high level of interest amongst consumers who will recognise this as one of the best cashback deals available on the market."

The Capital One World MasterCard can be managed online and has a rate of 19.9% p.a. variable on purchases and balance transfers.

Note to Editors
¹ No comparable card is as widely accepted as World MasterCard, which can be used at more than 32m locations worldwide
² ICM research surveyed 2,013 British Adults via online omnibus from 6th-8th October 2010. The results have been weighted to nationally representative criteria. Calculations regarding cash back rewards have been made using the omnibus research and applying this to the latest ONS Family spending Index data.
³ Moneyfacts: comparison of number of cashback cards listed in May 2011 versus May 2009

Representative example: Assuming a credit limit of £1,200, an interest rate on purchases of 19.94% p.a. variable, you will receive a 19.9% APR representative variable.

Capital One launches Click Card for online bargain hunters

Released 3rd July 2011

Capital One has launched its first credit card targeted at online shoppers - the Click Card - which offers discounts of up to 50% at a range of retail groups¹ as well as a highly competitive standard rate of 9.9% p.a. variable on purchases, balance transfers and cash withdrawals plus protection against online fraud and identity theft.

For the first six months, Click credit card customers will be able to receive discounts as follows:

30% off Zavvi.com
25% off Travelpack.com
20% off and free delivery with Tedbaker.com
50% off viagogo.co.uk

Brian Cole, Managing Director, Capital One said: "The Click credit card is an ideal way for bargain hunters to access a great range of brands and new retail partners will be introduced every three months.

The card also offers a highly competitive flat rate of 9.9% p.a. variable for purchases, balance transfers and cash withdrawals. And with our enhanced fraud and identify theft protection, customers can feel reassured that they shop online securely."

Every three months, customers will receive new discounts offered by other retailers. Click Card customers can access these discounts through the eXtras plus website which safely links to Capital One's partner websites.

Notes to Editors
¹ Discounts at Zavvi.com, viagogo.co.uk, Travelpack.com and Tedbaker.com are available on an unlimited basis for 6 months from the date of registration at www.capitalone-extrasplus.co.uk.

• 30% discount at Zavvi.com excludes games consoles, laptops (including ipads), ipods and mobile phones
• 25% discount at Travelpack.com is valid on featured holidays when purchasing holiday packages for a minimum of two people
• 50% discount at viagogo.co.uk is valid when purchasing two tickets across a selection of events. Standard booking and postage fees apply
• 20% discount plus free delivery at Tedbaker.com is valid on full priced merchandise only

Access to additional discounts will be provided every three months and will each be valid for three months.

Representative Example: Assuming a credit limit of £1,200 and an interest rate on purchases of 9.94% p.a. variable, you will receive a 9.9% APR representative variable.

Capital One clicks with online bargain hunters

Released 28th June 2011

• Online shoppers expect discounts of up to 20% over High Street prices, research shows

Shoppers expect discounts of up to 20% over the High Street when they buy online - and spent an incredible £39 billion in the last year on holidays, music, live entertainment and clothes, new research from Capital One shows¹.

Capital One has launched its first credit card targeted at online shoppers - the Click Card - which offers discounts of up to 50% at a range of retail groups² as well as a highly competitive standard rate of 9.9% p.a. variable on purchases, balance transfers and cash withdrawals plus protection against online fraud and identity theft.

Research reveals a boom in online shopping with customers now booking 85% of sporting events, two thirds (66%) of holidays, and buying 62% of music on the web. The £39 billion spent online on holidays, clothes, music and live entertainment amounted to well over half the total amount spent online². Holidays booked online accounted for the largest portion with over £27 billion of business conducted via the web last year.

Capital One's study reveals how internet shopping has thrived in the tough economic climate as consumers expect to pay lower prices online than on the high street. For example, three quarters (75%) of consumers buying music, DVDs and books online said they would only do so if they received a 20% discount. When it comes to booking a holiday, we expect a price drop of 15%.

Apart from better prices, when asked what consumers like most about online shopping, the top three reasons were: being able to shop at any time; no wasted trips due to items being out of stock; and no queues.

According to Capital One's research, the web has also sharpened up our shopping skills. One in four consumers (27%) admitted that the internet had made them savvier shoppers while over a third (35%) said they wouldn't make a substantial purchase without first comparing prices or checking for discounts online. And one in five (20%) said they were more aware of the products and services available since starting to shop online.

Brian Cole, Managing Director, Capital One said: "The Click credit card is an ideal way for bargain hunters to access a great range of brands and new retail partners will be introduced every three months. The card also offers a highly competitive flat rate of 9.9% p.a. variable for purchases, balance transfers and cash withdrawals. And with our enhanced fraud and identify theft protection, customers can feel reassured that they shop online securely."

For the first six months, Click credit card customers will be able to receive discounts as follows:

30% off Zavvi.com
25% off Travelpack.com
20% off and free delivery with Tedbaker.com
50% off viagogo.co.uk

Every three months, customers will receive new discounts offered by other retailers. Click Card customers can access these discounts through the eXtras plus website which safely links to Capital One's partner websites.

Notes to Editors
¹Opinium research surveyed 2,023 British Adults via online omnibus from 10th-14th June 2011. The results have been weighted to nationally representative criteria.
²Discounts at Zavvi.com, viagogo.co.uk, Travelpack.com and Tedbaker.com are available on an unlimited basis for 6 months from the date of registration at www.capitalone-extrasplus.co.uk.

• 30% discount at Zavvi.com excludes games consoles, laptops (including ipads), ipods and mobile phones
• 25% discount at Travelpack.com is valid on featured holidays when purchasing holiday packages for a minimum of two people
• 50% discount at viagogo.co.uk is valid when purchasing two tickets across a selection of events. Standard booking and postage fees apply
• 20% discount plus free delivery at Tedbaker.com is valid on full priced merchandise only

Access to additional discounts will be provided every three months and will each be valid for three months.

Representative Example: Assuming a credit limit of £1,200 and an interest rate on purchases of 9.94% p.a. variable, you will receive a 9.9% APR representative variable.

Helping students tackle school to work transition

Released 27th June 2011

Capital One launches To Your Credit
Nottingham based Capital One and Education Business Futures have launched an innovative new financial education board game, To Your Credit, which will be available to all Nottinghamshire secondary schools.

To Your Credit is aimed at Key Stage 4 students (14-16 year olds), and supports the move from school into the workplace and the financial and lifestyle decisions that are made during this time. It links lifestyle aspirations with income and expenditure and income with qualifications and skills. In the game each player takes on the role of a different character, helping them to achieve a successful lifestyle. The winner is the first player to achieve their personal targets with their finances properly managed and on track.

The game will be launched at an event taking place at The National Ice Centre in Nottingham on Wednesday 29 June between 4pm to 6pm.¹ Attendees will receive a free training session and the opportunity to take away up to six free copies, normally available at £25 each.

To develop the game, Capital One worked closely with PFEG, Education Business Futures, Citizens Advice Bureau, Nottingham Credit Union and various local schools.
All Nottinghamshire secondary schools will receive copies accompanied by teacher training to get the most from this game. Capital One employees will also volunteer in schools to play the game with the students.

Brian Cole, Capital One UK Managing Director said: "We're excited to be launching To Your Credit, which enables youngsters to learn about financial responsibility and have fun at the same time. Following the initial launch in Nottinghamshire we're hopeful that To Your Credit will be rolled out nationally.

To Your Credit builds on our existing financial education programme for young people which currently focuses on working with local Nottinghamshire schools. The programme includes senior management and other employees holding personal economics sessions in schools and the development of educational materials."

To Your Credit complies with the Social Health and Economic Education National Curriculum regarding financial capability through personal finance education, which states that pupils should be able to manage their money, explain financial terms and products, understand financial risk and reward and identify how finance will play an important part in their lives and in achieving their aspirations.

To Your Credit has been awarded the pfeg quality mark and supports the KS3 and 4 curriculums in Maths, English and Social Health and Economic Education.

Notes to Editors
¹The event takes place during pfeg's 'My Money' week - see www.pgeg.org for further details of this initiative. To register, please email ebf.admin@futuresnn.co.uk.