On a non-currency adjusted basis, Purchase Dollar Volume (PDV) in Canada for Visa and MasterCard payment cards declined 7.6% Year-on-Year (YOY) in 3Q/15. On an adjusted currency basis (FX) Visa was up 5.2% YOY and MasterCard soared by 19.2% YOY in 3Q/15.
U.S. bank credit card active accounts (accounts with sales activity), among the top six U.S. issuers, will likely notch up 1.5% year-on-year (YOY) in the third quarter, according to RAM Research. In the second quarter active accounts among the Big 6 grew 1.4% YOY and flat quarter-to-quarter (QOQ), according to CardData.
The FOMC’s stunning decision today not to raise rates will be very confusing to card issuers and the stock market. However, credit card issuers are preparing for the certain rate adjustments by year’s end.
Japan’s JCB continues this year to expand its worldwide acceptance and issuance with new deals in Europe, as well as the LAC, ME and AP regions. Based on current metrics JCB is expected to surpass the US$500 billion in annual transaction value milestone by end-of-year (EOY) 2019. JCB racked up US$223 billion in transaction value last year, according to CardData.
U.S. bank credit card active accounts (accounts with sales activity), among the top six U.S. issuers, grew 1.4% year-on-year (YOY) and flat quarter-to-quarter (QOQ) in the second quarter. This comes despite the slight erosion in gross accounts by Bank of America and Citibank.
American consumers continue in the healthy buying mode after ratcheting up revolving credit by $39.1 billion or 5.7% year-on-year (YOY) in May. Total revolving credit for March preliminarily posted $901.0 billion, compared to a revised $899.4 billion for the prior month and $860.9 billion for the prior year.
Visa Europe’s owners, including 3,078 banks and payment providers from 37 European countries, are mulling a sale to Visa, Inc. The deal would be valued somewhere between $15 billion and $20 billion.
American consumers are back in the buying mode after ratcheting up revolving credit by $4.3 billion or 5.9% year-on-year (YOY) in March. Total revolving credit for March preliminarily posted $889.4 billion, compared to a revised $885.1 billion for the prior month and $887.5 billion for January.
Total U.S. consumer debt hit $9.99 trillion in the first quarter, down 1.1% from Q1/14. While credit card debt remains robust, the slight year-on-year (YOY) decline is driven by a contraction in first and second mortgage debt.
Cards-in-Force (CIF) for Visa, MasterCard, American Express, Discover, JCB and UnionPay is expected to approach seven billion by end-of-year (EOY) 2019. According to forecaster RAM Research, CIF for the global debit card industry is growing at a CAGR of 8.88%.
China is finally opening up its credit card clearing market to outside players. As of June 1, foreign firms will be able to set up clearing companies within China and apply to the central bank for a license to operate domestically.
ACH volume grew to almost 23 billion electronic payments last year, an increase of almost 5%, or 1 billion transactions, over 2013 volume, according to new statistics released by NACHA ” The Electronic Payments Association. RAM Research projects it will grow to 24.5 billion by EOY 2017.