top of page
  • Frank Tian

Q3 '22: Strong Sales Pulled Card Balance Back

Top 4 US banks had another strong quarter with credit card purchases, which pulled the credit balance finally back to the level 3 years ago.

For full-service banks, this illustrates the advantage of a diversified business model - the credit card engine fires up when mortgage and trading are muted.

Two key metrics at the top 4 US banks:

🟩 Credit card sales in Q3 ‘22 up 37% vs. Q3 ‘19.

Consumers opened up their wallets to enjoy the summer, despite lower confidence with high inflation.

🟦 Credit card balances in Q3 ‘22 on par with Q3 ‘19.

Consumers’ excess savings suppressed card balances during the pandemic.

Now the financial cushion is gradually declining as policies shift to post-pandemic challenges.

The positive signal - the job market is still strong. The latest unemployment rate is only 3.5% with 10 million jobs open.


Recent Posts

See All

Auto Loan Update

🚗 How is the auto loan doing in 2023 so far? Everything is up. 🟦 Auto Price Up The new car price index continues to climb in May, +4.7% Y/Y. It has grown 21% since Feb 2020. Many models become luxu

Old Bank/Card Model Still On Fire

The Economist recently published a piece to highlight the resilience of credit cards in developed economies. In the US, the credit card balance dropped as much as 16% during the pandemic*, but has mad


bottom of page