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The quarter was awful and very disappointing. The only bright spot is that they are being aggressive with share repurchases and have bought 4.2mm shares YTD through 11/2/12, or 7.4% of S/O as of 12/31/11.... login to read the rest

http://democrats.edworkforce.house.gov/sites/democrats.edworkforce.house.gov/files/documents/112/pdf/letters/PIRG-IG-DucanLetter.06-07-2012.pdf

I'm pretty sure the average balance throughout the year is under $1000 per account. I think it could be under $500/account. So the drag does seem large as a percentage of the average balance. But... login to read the rest

I think avahaz's misperception here about "free" checking accounts is at the crux of ONE's problem. Check out the OneAccount fee schedule (https://www.higheroneaccount.com/info/outfees.jsp). Notice that their basic account (and the only account type they offered... login to read the rest

It seems to me that it is far more important to compare competitive selling prices than the cost to supply. Banks have been offering free checking accounts for a very long time now so it... login to read the rest

The $300 is Jamie Dimon's estimate of the cost of providing a checking account, which needs to be offset by income of some sort.  You see similar estimates in the Bretton Woods work, some of... login to read the rest

What do you get for Jamie dimon's $300 vs $73 here? Is it a fair comparison? I believe the prior includes overdraft fees which is a service that needs to be paid for and ONE... login to read the rest

Another way to ask my last question is to compare average revenue per OneAccount last year of $73 to the average balance in each OneAccount.  Have not been able to find the average balance number,... login to read the rest

Thanks, I had found that report.  It was clear that there was some anger on campuses regarding ATM and PIN debit fees.  Now that the report is out, it is very frustrating to ONE management... login to read the rest

thistle, what has caused the weakness is a US PIRG Education report (http://www.uspirg.org/sites/pirg/files/reports/USPIRG_Debitcardtrap_may2012final-2.pdf) and the ensuing media frenzy it caused: http://www.nytimes.com/2012/05/31/business/on-campus-new-deals-with-banks.html http://www.usatoday.com/money/economy/employment/story/2012-05-30/college-bank-deals-big-fees/55286302/1 http://www.marketwatch.com/story/lawsuit-filed-against-higher-one-for-charging-college-students-unfair-and-deceptive-bank-fees-2012-06-04   Higher One has chosen to not wage a PR war despite the fact that all of... login to read the rest

thistle, sorry for my late response. I agree that students don't like foreign ATM fees, any more than I like foreign ATM fees. Nobody likes them, but almost every bank charges them and certainly prepaid... login to read the rest

thistle, you are right that based on their commentary in the last earnings conference call that 2012 and probably 2013 CapEx will be greater than $8mm/year. They said that they will be investing in a... login to read the rest

good rebuttals and add'l thoughts.  thank you.

It is possible that they have already picked the low hanging fruit, the schools that are most inclined to use OneDisburse, and that each incremental sale will be more difficult. I think this is hard... login to read the rest

some bear case points are the following (I neither agree or disagree so don't shoot the messenger): have they already picked the low-hanging fruit already?  I personally haven't researched this, but some argue that if they... login to read the rest

I’m not that familiar with the bear case but there are a few things that I think they might point out. I do want to note though that as a percentage of shares outstanding the... login to read the rest

Thanks for the write up.   ONE has a whopping 38% short interest, this compares to GDOT (which I would have thought to be more controversial) at 16%.  Any idea what the bear case bullet points are? 

1)     The School CFO/Treasurer is the decision-maker but with a long-term commitment often on the order of 5 years the school's board has to sign off and as it has been described to me this... login to read the rest