RUSH TRANSCRIPT Charles so ░░░░░░░░ eased up a bit ░░░░░░░░ s face it it ░░░░░░░░ still sky high and ░░░░░░░░ is beginning to chip ░░░░░░░░ at spending A whole ░░░░░░░░ had been made I ░░░░░░░░ about it all the ░░░░░░░░ on the show 3 ░░░░░░░░ in excess savings That ░░░░░░░░ back in March Admittedly ░░░░░░░░ high costs have taken ░░░░░░░░ toll Mark Zandi of ░░░░░░░░ s say poor Americans ░░░░░░░░ six months before their ░░░░░░░░ run out What is ░░░░░░░░ true health of the ░░░░░░░░ I want to bring ░░░░░░░░ moffitt nathan send tore ░░░░░░░░ ellis You re not ░░░░░░░░ economist You understand payments ░░░░░░░░ than anyone else You ░░░░░░░░ where the consumers are ░░░░░░░░ you seeing any cracks ░░░░░░░░ the armor Very very ░░░░░░░░ very few The only ░░░░░░░░ maybe we re seeing ░░░░░░░░ touch of it is ░░░░░░░░ the very lower income ░░░░░░░░ middle income consumers some ░░░░░░░░ like affirm or accupay ░░░░░░░░ by block do the ░░░░░░░░ now pay later lending ░░░░░░░░ is usually for consumer ░░░░░░░░ thin credit files middle ░░░░░░░░ consumers They re seeing ░░░░░░░░ a little bit of ░░░░░░░░ in some of their ░░░░░░░░ writeoff rates but that ░░░░░░░░ really it We re ░░░░░░░░ really seeing it yet ░░░░░░░░ the mainstream Charles I ░░░░░░░░ another retailer I forget ░░░░░░░░ one saw big jump ░░░░░░░░ the buy now pay ░░░░░░░░ we were starting to ░░░░░░░░ off but I think ░░░░░░░░ circumstances bring it back ░░░░░░░░ Of course I did ░░░░░░░░ today Bank of America ░░░░░░░░ debit and credit spending ░░░░░░░░ 5 3 in July ░░░░░░░░ 7 in June Is ░░░░░░░░ a point where we ░░░░░░░░ to hit a ceiling ░░░░░░░░ respect to using credit ░░░░░░░░ let s let me ░░░░░░░░ about that So in ░░░░░░░░ U S overall digital ░░░░░░░░ we re at about ░░░░░░░░ penetration meaning people use ░░░░░░░░ a debit or credit ░░░░░░░░ about 70 of the ░░░░░░░░ About 30 of the ░░░░░░░░ they re still using ░░░░░░░░ or check Within that ░░░░░░░░ it is about half ░░░░░░░░ half credit debit It ░░░░░░░░ skewed pretty heavily toward ░░░░░░░░ during the pandemic Now ░░░░░░░░ re seeing credit come ░░░░░░░░ back but we still ░░░░░░░░ a ways to go ░░░░░░░░ has heavily been driven ░░░░░░░░ things like travel event ░░░░░░░░ entertainment which people tend ░░░░░░░░ use their credit cards ░░░░░░░░ re now getting back ░░░░░░░░ the pre pandemic mix ░░░░░░░░ we talk about the ░░░░░░░░ stuff a lot I ░░░░░░░░ something yesterday the day ░░░░░░░░ in Axios Visa mastercard ░░░░░░░░ coming and you attack ░░░░░░░░ Congress for their swipe ░░░░░░░░ overdraft charges could be ░░░░░░░░ hanging fruit from either ░░░░░░░░ of the aisle Could ░░░░░░░░ have material impact from ░░░░░░░░ company Broad based legislation ░░░░░░░░ things like the swipe ░░░░░░░░ like meaning this is ░░░░░░░░ infamous credit interchange or ░░░░░░░░ interchange is very very ░░░░░░░░ to pass That is ░░░░░░░░ popular legislation because it ░░░░░░░░ banks versus retailers and ░░░░░░░░ most congressman they have ░░░░░░░░ constituencies in both sides ░░░░░░░░ is controversial type of ░░░░░░░░ However some stuff that ░░░░░░░░ the CFPB around consumer ░░░░░░░░ overdraft fees better visibility ░░░░░░░░ the types of lending ░░░░░░░░ you don t have ░░░░░░░░ lending practices some of ░░░░░░░░ has crept in a ░░░░░░░░ over the last few ░░░░░░░░ I wouldn t be ░░░░░░░░ if there is a ░░░░░░░░ incremental legislation there Charles ░░░░░░░░ got 30 seconds You ░░░░░░░░ had a hot hand ░░░░░░░░ ve been spot on ░░░░░░░░ you made any changes ░░░░░░░░ the portfolio Are you ░░░░░░░░ liking I know American ░░░░░░░░ was near the top ░░░░░░░░ the list You like ░░░░░░░░ mastercard You still like ░░░░░░░░ names Any new names ░░░░░░░░ do coming out of ░░░░░░░░ earnings the two I ░░░░░░░░ I bumped up a ░░░░░░░░ bit paypal I would ░░░░░░░░ because they have a ░░░░░░░░ cfo They re in ░░░░░░░░ of a new head ░░░░░░░░ product They have elliot ░░░░░░░░ activist investor in there ░░░░░░░░ they seem to be ░░░░░░░░ with them okay so ░░░░░░░░ We re starting to ░░░░░░░░ a little more discipline ░░░░░░░░ action out of paypal ░░░░░░░░ focusing their investments using ░░░░░░░░ of their capital allocation ░░░░░░░░ one you know that ░░░░░░░░ has been sort of ░░░░░░░░ Charles yeah yeah I ░░░░░░░░ glad to hear you ░░░░░░░░ of changing your tune ░░░░░░░░ that one I m ░░░░░░░░ I have got a ░░░░░░░░ way to go to ░░░░░░░░ break even Lisa thank ░░░░░░░░ so much We ll ░░░░░░░░ to you again real ░░░░░░░░ Thank you Charles next ░░░░░░░░ name up at the ░░░░░░░░ s box, they report after