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The following day, the customer would pick up the cassette at the Fotomat kiosk of their choice. The rental cost was $12 per title (equivalent to $50 in 2023) and the customer could keep it for five days. The price was later reduced to $9.95 for a five-day rental. The service was called "Fotomat Drive-Thru Movies." [9] [10]
The discount rate was cut by 50 bp—to 5.75% from 6.25%—and the term of loans was extended from overnight to up to thirty days. That reduced the spread of the primary credit rate over the federal funds rate from 100 basis points to 50 basis points.
Cards may be issued as part of a loyalty program, offering discounts to existing customers to ensure their continuing custom; they may be offered free of charge, offering a modest discount with the intention of persuading purchasers to patronise participating shops; or they may be sold to members, offering larger discounts—for example, the tastecard offers 50% discounts at many restaurants ...
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