Credit Card In Rate Rising Cycle
As the interest rate, the rising cycle begins,
How does that impact the credit card industry?
This Financial Brand piece highlights several key trends: 👇
👉 More attention on low-rate card offerings
With high inflation and higher rates,
More consumers will carry the balance.
👉 More values; more choices
High inflation makes high cashback offers attractive.
More category choices allow customers to choose.
👉 Innovative rewards from partnerships
Leverage partners’ tech and brand,
Grow the card offers reach.
👉 New features such as crypto rewards
Even the crypto prices are always volatile,
Crypto rewards cards cater to consumer interests.
💳 Credit card is still a fiercely contested arena.
As various players continue to innovate and partner.
In the past quarter, Visa/MC saw 20%~ card volume growth Y/Y.
US consumers increased card balances by $71 billion or +9.2% Y/Y.