Wells Fargo Faces Challenges with Bilt Credit Card Partnership

The bank's innovative rent-payment card attracts young, affluent customers but incurs significant losses.

Wells Fargo's Bilt card allows rent payments without transaction fees, attracting over one million users in 18 months.
The card's primary users are young professionals with high incomes and strong credit scores.
Despite high user engagement, Wells Fargo is losing up to $10 million monthly due to low carry-over balances.
Most cardholders pay off their balances quickly, minimizing interest revenue for the bank.
Wells Fargo remains committed to the partnership, viewing it as a long-term investment.