Credit Card Rates Rise Nationally

Credit Card Rates Rise Nearly 150 bps YOY or 2X Prime Rate Increase

Nominal credit card rates among banks and credit unions nationally increased 137 basis points (bps) in the second quarter (2Q/18) year-on-year (YOY) while rates assessed on accounts with balances rose 154 bps over the same period. Sequentially, nominal interest rates rose 51 bps as accessed credit card rates increased 22 bps. Nominal credit card interest…

Australian Credit Card Debt Sputters

Australian Credit Card Debt Languishes as Consumer Confidence Wanes But Credit Card PDV Marches Upward

Australian credit card debt growth is sluggish while credit card usage is continues to grow slowly. Credit card outstandings grew 0.8% year-on-year (YOY) in July, while credit card purchase dollar volume (PDV) rose 7.2% YOY. According to figures released yesterday by the Reserve Bank of Australia (RBA), credit card credit limits were flat in July…

Capital One Leads Top 4 Marketshare Growth

Capital One U.S. PDV Credit Card Marketshare Soars in Q2 +90 bps YOY

Capital One led the charge in the U.S. credit card market in the second quarter (2Q/18). U.S. credit card marketshare, based on Visa and Mastercard purchase dollar volume (PDV), among the top 4 U.S. bank credit card issuers, declined 80 basis points (bps) to 61% in the second quarter. U.S. CREDIT CARD MARKETSHARE While Chase…

Payment Card Transactions for V+M U.S. Rises 9.5% YOY in Q2

Payment card transactions (PTX) for Visa and Mastercard credit and debit cards in the U.S. grew by 9.5% year-on-year (YOY) in the second quarter (2Q/18) to 24.1 billion. The growth was driven by Mastercard credit and debit cards. U.S. payment card purchase transactions for Visa and Mastercard (debit+credit) hit 24,067 in 2Q/18, compared to 22,221…

Visa and Mastercard European Credit Cards Q2 Racking-Up Impressive YOY Gains

European Credit Cards Q2 for Visa and Mastercard posted strong year-on-year (YOY) gains for the second quarter (2Q/18). On a non-currency adjusted basis (NFX), gross dollar volume (GDV) rose 16.5% YOY, purchase dollar volume (PDV) increased 19.2% YOY, and cards-in-force (CIF) climbed 6.1% YOY. On a currency adjusted basis (FX), Visa GDV rose 7.3% YOY…

Late Stage Q2 Credit Card Delinquency Hovers at 1.00% for Big 6 U.S. Issuers

The average late stage U.S. credit card delinquency (90+ day) among the nation’s six largest issuers edged up 2 basis points (bps) sequentially, to 1.00% for the second quarter (2Q/18), and down 8 bps from one-year ago (YOY). The 90+ day delinquency crossed the 1.00% milestone in 4Q/16, the first since 2009. The Chase 90+…

Global PDV for Major 4 U.S. Card Networks Up 12% in Q2 FX YOY

Purchase dollar volume (PDV) for Visa, Mastercard, American Express and Discover cards (credit + debit) globally rose 13.7% year-on-year (YOY) on a nominal dollars basis for the second quarter (2Q/18). However, on a currency adjusted basis (FX), global 2Q/18 PDV increased 12.1% YOY.  The major four U.S.-based global networks posted $3511 billion in global PDV…

Visa + Mastercard LAC Q2 PDV (FX) YOY Surges as Visa Marketshare Continues to Slip

Visa and Mastercard purchase dollar volume (PDV), currency adjusted (FX), in the Latin American Caribbean (LAC) region skyrocketed in the second quarter (2Q/18) with year-on-year (YOY) growth in double digits. Mastercard has been slowly gaining on Visa in the LAC, eroding Visa’s marketshare in the LAC region, based on nominal PDV, to 61% at end-of-year…

British Brexit Economy Sputters as Credit Card Lending Slows in July Amidst Stagnate Workers’ Pay

U.K. consumer credit growth continued its downward spiral in July, dropping to 8.5% year-on-year (YOY), its lowest level this year and well below the peak of 10.8% YOY set in November 2016. For July, driven by the Brexit fallout, the decline was 50 basis points (bps) sequentially, and flat YOY. However, according to the July…

Global Q2 Profits for Top 4 U.S. Networks Top 20% YOY – Fueled by Mastercard +33% YOY

Profits for the top four networks were all over the map year-on-year (YOY) in the second quarter (2Q/18). The network peer group net income (after tax) soared 20.8% YOY for 2Q/18, largely driven by Mastercard. Visa, Mastercard, American Express and Discover reported a combined 2Q/18 (after tax) profit of $6190 million, compared to $6397 million…