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JPMorgan Chase wants to attract young, wealthy clients to its new Sapphire bank account.
The plan? Offer 60,000 credit card points.
The bank said Thursday that Sapphire Card customers who open a new Sapphire account as of October can get the signing bonus, which Sapphire Reserve cardholders can redeem for $ 900 in travel money.
However, the allocation depends on deposits and investments of at least $ 75,000.
Chase first launched his Sapphire bank account at the end of August.
The advantage and the account itself are part of the bank's ploy to attract and retain wealthy Millennials, who have flocked to its popular Sapphire credit cards.
By expanding the Sapphire brand, the bank hopes to strengthen its relationship with its loyal customers. as they increase their savings and make big financial decisions like buying a home, said Matt Massaua, general manager of Chase Sapphire Cards.
CEO Jamie Dimon said earlier that he sees Amazon Prime as a model, noting that the platform continues to add services for users to increase its value.
Sapphire's bank account holders will also get free stock trading on JPMorgan's You Invest platform, launched last month.
"This account is a concrete example of how we reward our customers for their relationship," said Jed Laskowitz, head of You Invest, in a statement.
The largest US bank also wants to stay in the game as competition for deposits accelerates.
Online bank accounts, such as the one offered by Marcus of Goldman Sachs, attracted new clients with interest rates well above those of traditional chequing and savings accounts.
The Sapphire brand was a hit with the youngest, who were rewarded in 2016 with the Sapphire Reserve luxury card, launched with a bonus of 100,000 points. More than half of Sapphire cardholders are millennials, according to Hunt.
Competitive rewards packages are useful for recruiting new customers. But they are expensive for businesses.
Chase announced a revenue loss of $ 900 million in 2017 due to "headwinds" in its credit card portfolio, particularly "investments in Sapphire Reserve and other notable items," according to a February report.
CNNMoney (New York) First published on September 13, 2018: 1:58 PM ET
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