First Quarter Credit Card Profits

First Quarter Profits Top 4 Credit Card Networks & Issuers

First quarter profits for the first quarter (1Q/19) for the four largest networks and the credit card businesses of four largest issuers will likely be all over the map starting tomorrow as Chase releases its first quarter numbers before the opening bell. The first quarter is historically a slow consumer spending period and a time…

Credit Card Profits

Credit Card Profits Q4 YOY Screwy Gains Impacted Bigly by the Year Ago Tax Act

Credit card profits for the top U.S.-based global payments networks skyrocketed year-on-year (YOY) in the fourth quarter (4Q/18). The network peer group net income (after tax) soared 240.0% YOY for 4Q/18, equally driven by “kitchen sink” quarters for Mastercard and American Express. The Major 4 (Visa, Mastercard, American Express and Discover) reported a combined 4Q/18…

Canadian Credit Card Q4

Canadian Credit Card Purchase Volume Down a Skosh in Q4

Canadian credit card purchase dollar volume (PDV) for Visa Mastercard payment cards (credit cards + debit cards) posted weaker than expected performance in the fourth quarter (4Q/18) up 5.5% on a nominal basis or 8.3% currency adjusted (FX) year-on-year (YOY). Sequentially, nominal and FX YOY increases were 4.9% and 9.9%, respectively, Canadian payment cards-in-force (CIF)…

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…