Do you believe in Curve getting good return on investment?

Its my personal opinion: I have my doubts about Curve. There are already products (though not as successful due to cost) out there which would allow you to emulate your existing payment cards. The main difference is that when paid with an emulated card, the payment would come out directly from your payment bank. As opposed to the case with Curve, where the retailer charges Curve, and then Curve charges your payment bank.

The main issue I have with Curve is the above, because several of my payment cards offer cashback etc on particular retailers which I loose if I pay with Curve. This is because the payments on my bank/creditcard accounts appear as a charge from Curve, but the retailer specific cashback would only be given by my bank/creditcard if the charge was from the retailer.

The only reason I used Curve so far is for the Cashback, with those chosen 3 retailers. For all other payments I used my bank card & credit card depending the specific cashbacks/rewards applicable to those retailers.

Unless Curve comes with a solution for this problem, I have doubts about the investment; whether it would be worth in a long term as many like me would view Curve as just a convenience tool while carrying cards around. Further there could be other companies coming forward with emulated card solutions that solve the above problem.

I don’t see much use in using curve for online transactions because I would rather use my bank card and get the rewards/cashbacks for that retailer. These days onine transactions play a big role in our monthly expenditure.

For these reasons I am not considering investing much in this crowdfunding drive. But I would like to hear your opinions and be convinced otherwise.

I think Curve will do well.

I originally got Curve because of the potential with amex but I’ve stuck around because I do enjoy the element of choice with my non-amex cards. Loss of S.75 is something that stops me from doing transactions +£100 on curve. The cashback is pointless for me as all the retailers accept amex. Love the design, the tech, the app and the customer service. Excited for any potential changes in the future.

But I do recommend Curve a lot to friends and colleagues who rave about Monzo or Revolut as being the best thing since sliced bread. I would demonstrate the app and they would be sold by the ease of switching accounts and not having to top up an account. The cashback seemed a hit for some. And as the stats show most new users are by word of mouth.

I am definitely curious to see what the future holds for Curve.

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Balanced view, @lewis.beecham.91, Curve is definitely a hybrid :grinning:

I’m not convinced by Curve’s long-term value at all. They’ve done an impressive job of getting a lot of users on board and getting a lot of usage, which is obviously a positive. However, I see four major risks to their business, and haven’t heard anything from Curve to counter these:

  • Their key value proposition of combining all your cards in one becomes less valuable as more cards gain Apple/Google Pay support. It doesn’t mean Curve has no value, but the value is diminished.
  • I suspect a lot of the spending on Curve is on things like paying off credit cards with other credit cards, which are against Curve’s and the other cards terms, but you can get away with it now. The bigger Curve grows, the more likely that other companies start clamping down on this (at least one has already stopped allowing Curve as a payment method for paying off credit cards). This would further diminish Curve’s value to some big spenders
  • Their plans for making profit so far seem to boil down to offering packaged accounts and rewards at better value than competitors. However their scale, whilst impressive for a startup, is miniscule compared to the likes of HSBC, Amex, etc, who they’re competing against in this space. It’s going to be easy for those competitors to undercut Curve.
  • Their basic product is almost certainly loss-making and the losses increase with more use. This makes it even harder for the premium products to be profitable, as they first have to make up for the losses from all the free users.

Now, I may be completely wrong about these things, and maybe Curve have good answers to all these points. I’m hoping to hear them at the investor event on Monday, but right now, with the tiny amount of information Curve have provided, they’re basically asking us to invest on faith, and I’m not optimistic.

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I agree on all of these points. The main attraction of Curve is the physical card, compared to Google and Apple pay but that attraction quickly diminishes due to the losses I have had to incur due to the missing merchant cashback promotions offerred by the banks when purchased through their cards.

Regarding the second point on paying for credit cards using other credit cards, it cost me more. The other credit card vendor (from which i have made the payment) treated the transaction as cash withdrawal because Curve passes through the “merchant category code (MCC) information”. So credit card providers charge cash withdrawal fee and daily interest (depending on your credit card terms) on such withdrawals. So in effect paying credit cards using curve taken from other credit cards, won’t be beneficial anyway.

Yes still there are so much risks . Wonder what would happen if Mastercard bans curve for some reason .

Some do this, but from what I’ve read most treat it as a purchase. If more start treating it as a cash advance, then those relying on this will find Curve much less valuable.

I think curve will try to switch to visa card and continue as normal

You can’t really compare Curve with Monzo, Starling & Revolut because it is a completely different product.

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I see it quite likely that Revolut will include this possibility in the future. And at that very moment Curve becomes quite obsolete - Revolut already has apple and google pay, payments between users (and to any account actually), similar FX fees (or lack thereof).
The only chance is Amex, and that would really make Curve an exceptional product, but I really can’t see that happening. So as an investment it’s a no go for me.

It’s like any investment. There are risks. It could pay off or not…

Important thing is only invest what you can afford to risk, as with any venture.

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Venture, risk… show me the business plan before, right? :stuck_out_tongue_closed_eyes:

There’s no loss of the £75k, it’s £100k now, even better…

Are you referring to section 75 cover? If so you definitely loose that when using curve*.

*Unless of course part of the purchase has been made directly in a credit card in which case you would be covered by that card provider. Not all merchants allow part payments via multiple payment cards though.

Curve offer something called Curve Protection Plan (CPP) up to £100k, but as has already been discussed on here there are a number of things/scenarios this doesn’t cover that s75 would.

A question I posed recently but have not seen an answer from Curve is why £100k. To me it just seems like a nice big amount to quote on the marketing, website etc. When in reality I can’t see it ever being possible to have a need to claim that amount. You can only claim on CPP for purchases made within the last 120 days. Whilst you can claim for multiple payments (as long as they relate to the same purchase) I don’t believe anyone has high enough limits to come close to spending £100k in a year let alone 120 days…

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So dont invest, what you know its what you think, there is n ways beside…

Interesting feedback in this. Whilst I am new to Cyrve, my primary interest was in consolidating the card to a single card to carry and pay with.

However, unlike bank account it does not go far enough to provide the cash benefit that I would typically experience. As for the insurances, I have those through my bank account. ?

So why have one? The jury is out but the value of co solo dating cards and managing your payments is useful. Is it essential? No!

I cannot compare to the Monzos or the new generation of banking options.

But I agree with you. How is the value of this card going to compete?