The UBS sells its 50 percent stake in the credit card issuer Swisscard to American Express Swiss Holdings GmbH (Amex), making Amex the sole owner. This joint venture, originally formed between American Express and Credit Suisse, came to UBS through the acquisition of Credit Suisse.
For the time being, nothing changes for Credit Suisse customers: The credit card portfolios marketed under the Credit Suisse brand will be transferred to UBS. At the same time, Swisscard will continue to issue credit cards under the licenses of American Express, Mastercard, and Visa.
The decision by UBS to withdraw from Swisscard follows the non-renewal of the existing agreement between Credit Suisse and American Express after the takeover. However, UBS emphasizes its full commitment to its own credit card business and plans to offer former Credit Suisse customers its range of UBS credit cards and services in the future. The issuance of credit cards via Swisscard does not align with UBS's existing operational processes and strategic priorities as the legal successor of Credit Suisse.
American Express, meanwhile, emphasizes its commitment to the Swiss location and intends to further expand Swisscard's business. Merchants can continue to accept cards issued by Swisscard as usual.
Swisscard itself does not disclose exact business figures, but points out that it employs over 650 staff and more than 400,000 users utilize the Swisscard app. The company offers a wide range of 31 different cards for private customers and 23 cards for corporate clients, including products from Amex, Mastercard, Visa, as well as brands like Credit Suisse and Swiss.
The Swiss credit card market is highly competitive, with providers such as SIX, Bonuscard, Cembra Money Bank, PostFinance, Corner Card, and UBS itself. According to the Swiss Payment Monitor 2024, credit cards rank second in terms of turnover, behind the dominant debit card. About 20 percent of total spending is done using credit cards, while mobile payments now generate a similar amount of revenue.
On the stock market, UBS shares fell by 1.55 percent to 28.02 Swiss francs. American Express shares temporarily lost 2.53 percent in New York trading, quoting at 269.87 US dollars.
