蘑菇AV

This lets merchants reward cardholders for choosing a different method rather than punish them for using their preferred card. On what鈥檚 missing from the settlement:. David鈥檚 take: The settlement doesn鈥檛 address the contentious matter of credit card routing. The Credit Card Competition Act would make large banks offer at least two unaffiliated networks to route credit card transactions.

The insight: Dollar General customers spent more at Temu so far in Q3 than at the discounter, per credit card data analysis by Earnest Analytics. Just 10% of the dollar store鈥檚 customers shopped from the Chinese ecommerce marketplace this quarter. But those who did spent $141 with the retailer, compared with $136 at Dollar General.

Credit cards will be the top payment choice this holiday season. 蘑菇AV 62% of consumers plan to cover holiday expenses with a credit card. Credit card use during the holidays will increase across income levels and generations. More than two-thirds (68%) of baby boomers and 64% of Gen Xers will use credit cards, compared with 44% of Gen Z shoppers.

The annual charges increased across all six cards, but Amex is hoping the enhanced rewards will offset the added consumer costs

Credit Cards Will Contend With Spending Shifts and New Payment Methods. Economic uncertainty is shifting the payment mix to the detriment of cards: US credit card spending will rise this year but only by a slow 2.0%, per our forecast. Here鈥檚 what will dent credit card market share in 2023:.

Why this matters: Increased credit card borrowing reflects growing consumer confidence. But that doesn鈥檛 mean it鈥檚 not entirely without risk. Credit card interest rates are higher than ever, which could make paying back debt more challenging. The average rate is 24.52% as of July 10, according to Forbes Advisor.

Credit card providers may need to start implementing programs that can help delinquent customers. They may also want to push more value-added services and other revenue streams to make up for slowing credit card account growth.

This highlights the popularity of the credit card鈥檚 investment feature and should continue to bring in more cardholders

This should help boost volume for both the booking platform and for the card-linked installment offering, given BNPL鈥檚 popularity in the travel category and an overall spike in popularity for card-linked BNPL

Integrating Afterpay on Cash App Card. Afterpay became available on the card this month. The integration can boost Cash App鈥檚 payment volume. During testing, Afterpay led to higher gross profit per active cardholder, the company said. Bringing Cash App and Square together. Merging the two ecosystems will turn Cash App into one app for everything.

Consumers also abandoned their carts because the site wanted them to create an account, they didn鈥檛 trust the site with their credit card information, or delivery was too slow. US consumers also expressed frustration with promo codes not being applied to their carts, according to an October 2023 survey from Bizrate Insights and Digital Commerce 360. What can retailers do?

What this means: One Credential will let PayPal users access their various funding mechanisms through a single card credential. This could include everything from PayPal and Venmo鈥檚 credit and debit cards to Pay Later and PayPal Credit. Users will be able to automate settings for their payments, capping card use/payment style for certain transaction sizes.

The open-banking-powered card offering brings together the benefits of A2A payments with the ease of card payments. Innovations like this could spur A2A payments usage globally

Providers continue to pursue innovations that promote fiscal responsibility and credit access, such as Affirm working with FICO to report BNPL loan activity and factor it into lending decisions. But they can also build in rewards propositions to engage higher-income consumers weaned on credit card rewards. Sources. Airbnb. AltFi. Amazon. American Banker. Klarna. PYMNTS.com. SoFi. The Motley Fool.

Baby boomers are the most likely to use savings and credit cards to pay for unexpected expenses. Over 60% of respondents said they鈥檇 do either. Gen Xers and millennials follow mixed strategies鈥攂oth are most likely to use savings and credit cards to cover surprise expenses, but each would more readily consider getting an extra job or asking friends and family for money.

In the US, Visa also faces a Justice Department antitrust lawsuit accusing the company of illegally maintaining a monopoly over the debit card market. Mastercard settled a similar suit from the Federal Trade Commission last year. Our take: Growing regulatory scrutiny is a looming threat to Visa鈥檚 and Mastercard鈥檚 businesses.

The data: TikTok Shop is stealing share from Shein, per Bloomberg Second Measure, which analyzes credit and debit card data. TikTok Shop surpassed Shein鈥檚 US sales for the first time last June and has maintained that lead every month since. In January, TikTok Shop grew by 153% YoY, significantly outpacing Shein鈥檚 26% growth rate. For the sake of comparison, Temu鈥檚 sales rose 28%.

Powered by cloud-based APIs, modern card issuing leapfrogs traditional issuer processing to help non-financial services companies launch and customize card programs. Here鈥檚 where their offerings will be most disruptive.