Just a few weeks ago, Barclay’s became the first big bank to give its customers unexpected control over their spending. Via Barclay’s app, you can now “switch off” your debit card so that it can’t be used for five specific types of purchases – gambling, “premium-rate websites and phone lines”, restaurants/pubs/bars, gas, and groceries. Once a type of purchase is switched off, any transaction you try with your card at the relevant type of retailer or business will be automatically declined. The idea is to try and help people manage their spending impulses, and is aimed particularly at those with mental health issues or addictions. But, it can also be used to protect yourself from others trying to make fraudulent charges, if you’re worried about that. Barclay’s says it will do the same for credit cards in the near future.
Why It’s Hot:
It’s a bold move for a bank to offer its customers a way to not spend their own money, but it’s clearly aimed at helping people. Unexpected, and a great example of putting people over profits and thinking about the customer experience beyond just transacting with the bank itself. It’s only a halfway house, given that the feature is completely within each person’s control. But even the cue of having your card declined and having to go into the app to turn whatever type of purchase back on would likely make someone who can’t help themselves think twice.