While Chase struggles with growth in credit card outstandings of less than 2% year-on-year (YOY), gains in purchase dollar volume (PDV) remain strong rising nearly 8% YOY, according to CardData. RAM Research projects Chase credit card Q2 PDV will come in at $127.3 billion.
Chase reported purchase dollar volume (PDV) in the first quarter of $112.8 billion, up 7.9% year-on-year (Y/Y). The number of active credit card accounts also ticked up to 32.5 million, a 4.8% increase over first quarter 2014.
CHASE US CC PDV
1Q/14: $104.5 billion
2Q/14: $118.0 billion
3Q/14: $119.5 billion
4Q/14: $123.6 billion
1Q/15: $112.8 billion
Q2/15: $127.3 billion
Source: CardData; RAM Research
Outstandings rose 1.4%, delinquency declined 23 basis points (bps) and charge-offs decreased 17 bps Y/Y in Q4/14.
Q4/14 bank credit card PDV increased 7.9% Y/Y to $112.8 billion, compared to $123.6 billion in the prior quarter and $104.5 billion in the year ago quarter.
Chase bank credit card End-of-Period (EOP) outstandings inched up by 1.4% YOY to $123.5 billion.
Delinquency (30+ day) declined 40 bps in Q1/15 to 1.41% compared to 1.81% for Q1/14. Bank credit card delinquency declined 3 bps higher than the prior quarter.
Charge-offs of 2.62% were down 31 bps YOY, and down 7 bps from Q4/14.
At the end of the first quarter Chase had 64.9 million open accounts with 32.5 million posting sales activity. Chase notes it opened 2.1 million new accounts in the quarter, on par with Q1/14.
Chase notes that 62% of the new accounts were acquired online, compared to 51% one-year ago.
For data, background and forecasts on Chase: Search CardWeb.com’s CardFlash® Library of more than 58,000 archived articles; Access CardWeb.com’s CardData® for current and historical Performance, Portfolios, Profiles, etc. Visit RAM Research® (ramresearch.com) for quarterly and annual forecasts covering more than 150 metrics. [complimentary or deeply discounted access to CardWeb.com subscribers].
Additional database resources include CardWeb.com’s CardExecs® – comings & goings of payments movers & shakers; CardWeb.com’s CardWatch® – ears & eyes on marketing globally (57K items); and CardWeb.com’s CardPixes® – form & function of card design (7K items).