Credit card cash transactions (CTX) for Visa and Mastercard U.S. credit and debit cards in the U.S. declined by 2.3% year-on-year (YOY) in the fourth quarter (4Q/18).
U.S. 4Q/18 credit card cash transactions were flat YOY, while U.S. debit card CTX decreased 2.3% YOY, according to figures collected by CardData.
Visa’s 4Q/18 CTX for U.S. credit cards was also flat YOY and debit card CTX dipped 3.5% YOY.
Mastercard’s 4Q/18 CTX for U.S. credit cards were flat YOY and debit card CTX grew 1.3% YOY.
Lower Consumer Demand
The decline in cash advances is driven by lower consumer demand created by lower unemployment rates. The rising cost of credit card cash advances carrying maximum interest rates, high processing fees and immediate interest assessment are also impacting consumer demand, according to analysis by RAM Research.
Cash Transaction Stats
In the fourth quarter U.S. CTX for Visa and Mastercard (credit + debit) came in at 1254 million, compared to 1294 million for the prior quarter and 1283 million in the year ago quarter. The average cash transaction for credit and debit combined is $159.62.
Visa posted 924 million in U.S. cash transactions for 4Q/18, compared to 957 million in 3Q/18 and 957 million in 4Q/17. Visa’s average cash transaction for credit and debit combined is $153.68.
Mastercard posted 330 million in U.S. cash transactions for 4Q/18, compared to 335 million in 3Q/18 and 326 million in 4Q/17. Mastercard’s average cash transaction for credit and debit combined is $176.29.
Cash Advance Fee Income
U.S. credit card cash advance fee income dropped 4.2% YOY for EOY 2018, compared to a 24.8% YOY decline for EOY 2017. U.S. credit card cash advance fee income was $17.7 billion for EOY 2018, compared to $18.2 billion for EOY 2017, and compared to $16.0 billion for EOY 2014.
U.S. Payment Card Cash Transactions
(Visa + Mastercard)
4Q/15: 1268 million
4Q/16: 1260 million
4Q/17: 1283 million
4Q/18: 1254 million
Additional Current & Historical Quarterly U.S. Payment Card Cash Transactions Data
U.S. Credit Card Cash Transactions
(Visa + Mastercard)
4Q/15: 26 million
4Q/16: 25 million
4Q/17: 25 million
4Q/18: 25 million
Additional Current & Historical Quarterly U.S. Credit Card Cash Transactions Data
U.S. Debit Card Cash Advances
(Visa + Mastercard)
4Q/15: 1242 million
4Q/16: 1235 million
4Q/17: 1258 million
4Q/18: 1229 million
Additional Current & Historical Quarterly U.S. Debit Card Cash Transactions Data
Visa U.S. Credit Card Cash Advances
4Q/15: 17 million
4Q/16: 16 million
4Q/17: 16 million
4Q/18: 16 million
Additional Current & Historical Quarterly Visa U.S. Credit Card Cash Transactions Data
Mastercard U.S. Credit Card Cash Advances
4Q/15: 9 million
4Q/16: 9 million
4Q/17: 9 million
4Q/18: 9 million
Additional Current & Historical Quarterly Mastercard U.S. Credit Card Cash Transactions Data
Visa U.S. Debit Card Cash Advances
4Q/15: 919 million
4Q/16: 920 million
4Q/17: 941 million
4Q/18: 908 million
Additional Current & Historical Quarterly VISA U.S. Debit Card Cash Transactions Data
Mastercard U.S. Debit Card Cash Advances
4Q/15: 323 million
4Q/16: 315 million
4Q/17: 317 million
4Q/18: 321 million
Additional Current & Historical Quarterly Mastercard U.S. Debit Card Cash Transactions Data
Source: Visa; Mastercard; RAM Research; CardData
