U.S. Credit Cards-in-Force (CIF) among the Top 4 issuers were slipped 0.5% year-on-year (YOY) at the end of the third quarter, down 1.1 million (estimated) cards to 229.9 million cards.
Next year will be full of complex challenges for pay-now product experts, as the last decade has been. Indicators suggest that less effort will be wasted on legal entanglements and arbitrary requirements and more thought and effort will be focused on improving the user experience, improving payment security, and solving real payments problems.
Data breaches are the new normal. IT departments have to tackle constantly evolving security threats and many are struggling to keep up. Users continue to be the biggest threat to enterprise wide security, and in 2016, we’ll see a shift towards smart interoperable security tools which take the decision of what and when to encrypt out of their hands.
In 2016, every business is a digital business. Traditional businesses will be vulnerable to disruption, and emerging industries will face new threats. With cyberattacks costing businesses about half a trillion dollars – conservatively – in 2015 alone. What does 2016 hold?
International cash transactions (CTX) for Visa and MasterCard credit and debit cards grew by 8.3% year-on-year (YOY) in the third quarter (3Q/15). International CTX for credit cards decreased 6.9% YOY while international CTX for debit cards rose 9.5% YOY in 3Q/15.
CardWeb and CardFlash has huddled its writers and editors and offers the 2016 “Nifty 50” list of payment related companies to watch next year as they make more disruptions to the payments industry. Ranking is irrelevant but all are equally relevant.
Among the top 4 U.S. bank credit card issuers Chase holds a commanding 24.7% marketshare, based on Visa and MasterCard purchase dollar volume (PDV) figures. Capital One, the hottest U.S. issuer, ranks #2 with a 12.4% marketshare.
Citibank’s international credit card portfolio continued to contract in the third quarter. The number of open or gross accounts (GAC) declined 300,000 in the Latin America region (LAC) and by 100,00 in Asia.
Capital One’s (COF) international credit card outstandings, not currency adjusted, increased 6.7% year-on-year (YOY) in the third quarter (3Q/15), while purchase dollar volume (PDV) soared 60.5% YOY. Delinquency dropped 69 basis points (bps) and charge-offs sunk 152 bps YOY.
Purchase transactions (PTX) for Visa and MasterCard credit and debit cards in the U.S. grew by 11.2% year-on-year (YOY) in the third quarter to 19.439 billion.
The nation’s four major payment card networks produced $1400 billion in U.S. gross dollar volume (GDV) in the third quarter (3Q/15). Visa continues to rule the market, growing its U.S. GDV marketshare from 58.1% in 3Q/14 to 58.7% in 3Q/15, largely at the expense of American Express.
The Big 6 issuers, based on U.S. outstandings of $925 billion, controlled 51.8% of the U.S. bank credit card business at the end of the third quarter. Chase led the pack with a 13.7% share followed by Bank of America (BofA) at 9.5%; Capital one (COF) at 8.9%; Citibank (Citi) at 7.0%; American Express (AXP) at 6.7%; and Discover (DS) at 6.3%.