Third-quarter earnings reports for the nation’s top credit card issuers, global payments networks and supporting businesses gets underway before the market opens on Tuesday, October 15th. First out of the shoot, is Chase (JPM), Citibank (C) and Wells Fargo (WFS), according to PYRPTS.com and CardData. Among, the four global payment networks, American Express (AXP) will…
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Card loan loss reserves rose sharply among the nation’s largest issuers, however, charge-offs among the Big 6 domestic credit card issuers held steady in the second-quarter. Credit card charge-offs among the nation’s Big 6 credit card issuers rose 18 basis points (bps) year-on-year (YOY) for the second-quarter (2Q/19). The Big 6 (Chase [JPM], Capital One…
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Consumer debit ratios for the second-quarter plummeted to levels not seen in more than 40 years. The Financial Obligations Ration (FOR) dropped 53 basis points (bps) over the past two years, while the Debt Service Ratio (DSR) has declined 27 bps since the second-quarter of 2017, based on figures released by the Federal Reserve. The…
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Visa Mastercard payment cards (credit, charge, debit, and prepaid) cards-in-force (CIF) in the U.S., for the second-quarter (2Q/19) posted an increase of 8.3% year-on-year (YOY), compared to a 6.7% YOY gain in payment cards for the prior quarter (1Q/19). Visa and Mastercard U.S. credit cards increased 5.0% YOY, while CIF for debit cards rose 10.9%…
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Early stage card delinquency in the second-quarter (2Q/19) declined 13 basis points (bps) from the prior quarter, but rising 13 bps from one-year ago. But the average 30+ day delinquency rate among the Big 6 U.S. issuers has been riding above 2.0% level for four consecutive quarters. The average U.S. 30+ day delinquency rate among…
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X-border transaction volume growth FX (currency adjusted) YOY (year-on-year) is driven solely by Mastercard. Second-quarter global cross-border transaction volume for Mastercard soared by 800 bps (basis points) over Visa. Cross-border transaction (X-Border) volume refers to payments and cash volume where the issuing country is different from the merchant country. X-Border Transaction Volume FX Visa’s cross-border…
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Global processed transactions (GTX), or switched transactions, in the second-quarter (2Q/19), for Visa and Mastercard combined, remains solidly in double-digits year-on-year (YOY), hovering above a 12% annual growth rate for six consecutive quarters. MasterCard posted more than a 600 bps (basis points) spread over Visa in 2Q/19 for global processed switched transactions. Combined Visa and…
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Global purchase transactions (PTX) for Visa and MasterCard debit and credit cards increased 15.0% year-on-year (YOY) in the second-quarter (2Q/19). The PTX YOY growth rate has been steadily expanding each quarter. One-year ago the PTX YOY growth rate for the second-quarter was 14.8%. In 1Q/17, the PTX YOY growth rate soared 28.3%, skewed by the merger…
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Second-quarter GDV (gross dollar volume) marketshare, including credit, debit, charge and prepaid card products, among the Major 4 payment networks shows Mastercard picking up 50 basis points (bps) over the past twelve months, mostly at the expense of Visa, in the U.S. market. Based on gross dollar volume, Visa’s U.S. marketshare peaked one-year ago at…
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Credit card accounts in the U.S. market slowed a tad in the second-quarter (2Q/19), by 80 basis points (bps), compared to the prior quarter. However, 2019 is shaping up to be the strongest year for expansion in the U.S. since 2015, despite exhibiting all the signs of saturation. Currently, the U.S. general purpose credit card…
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Second-quarter payment network profits among the global U.S.-based Major 4: Visa [V], Mastercard [MA], American Express [AXP] and Discover [DFS], soared 23.8% year-on-year (YOY), and now growing at an 12.80% CAGR (compound annual growth rate), based on the past five years. The Major 4 reported a combined second-quarter (2Q/19) (after tax) profit of $7663 million,…
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Second-quarter 90+ card delinquency climbed to its highest level in more than five years for a second-quarter, jumping 25 bps (basis points), signaling higher charge-offs in the near-term and possibly well into 2023. After hitting a seven-year record of 1.29% for the past two quarters, the late-stage delinquency rate seasonally nudged down by 11 bps…
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