Norwest Corporation said today it will transfer its $1 billion credit card portfolio from Norwest Bank Iowa to Norwest Bank Nevada. The transfer is scheduled December 31, 1997. The move will affect 40 of the 635 Norwest Card Services jobs in Des Moines.
“Iowa laws regulating the credit card business are more restrictive than the laws of the states where most of our competition is located,” said Brian O’Hare, president of Norwest Card Services. “Nevada law gives card issuers more flexibility to set prices and other terms based on conditions in the competitive market rather than setting them by regulation. By issuing credit cards from a state such as Nevada, we’ll be able to compete equitably with the rest of our industry. This transfer will have no effect on our ability to continue providing outstanding service to our one million customers. Norwest Card Services continues to be committed to Iowa and we intend to maintain many of our operations here in Des Moines.”
The 40 positions that will move from Des Moines to Las Vegas comprise the credit department. Credit analysts whose positions will move to Nevada will be given the opportunity to relocate to the Las Vegas area. “For those employees who don’t want to move to Nevada, we will make every effort to find other positions for them within the Norwest family of businesses in Des Moines,” said O’Hare.
Norwest Card Services is currently part of Norwest Bank Iowa, a subsidiary of Norwest Corporation, an $85.3 billion financial services company providing banking, insurance, investments, mortgage and consumer finance through 3,844 stores in all 50 states, Canada, the Caribbean, Central America and elsewhere internationally.Details