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It's "difficult to overstate" the benefit accruing to The Bancorp (TBBK) from higher short-term...

It's "difficult to overstate" the benefit accruing to The Bancorp (TBBK) from higher short-term interest rates, COO Frank Mastrangelo tells Mark Palmer. The company has a high-class problem in that it generates more cash from its prepaid debit card issuance than it can profitably invest. Finding higher yields with where it can deploy the money would substantially boost the bottom line.
Comments (1)
  • The Capitalist
    , contributor
    Comments (10) | Send Message
     
    This is absolutely spot on. The company has an enormous float in its prepaid business that has been earning close to nothing. As rates rise, their increased earnings go straight to the bottom line.
    21 Jun 2013, 10:48 AM Reply Like
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