ABA Banking Journal
No Result
View All Result
  • Topics
    • Ag Banking
    • Commercial Lending
    • Community Banking
    • Compliance and Risk
    • Cybersecurity
    • Economy
    • Human Resources
    • Insurance
    • Legal
    • Mortgage
    • Mutual Funds
    • Payments
    • Policy
    • Retail and Marketing
    • Tax and Accounting
    • Technology
    • Wealth Management
  • Newsbytes
  • Podcasts
  • Magazine
    • Subscribe
    • Advertise
    • Magazine Archive
    • Newsletter Archive
    • Podcast Archive
    • Sponsored Content Archive
SUBSCRIBE
ABA Banking Journal
  • Topics
    • Ag Banking
    • Commercial Lending
    • Community Banking
    • Compliance and Risk
    • Cybersecurity
    • Economy
    • Human Resources
    • Insurance
    • Legal
    • Mortgage
    • Mutual Funds
    • Payments
    • Policy
    • Retail and Marketing
    • Tax and Accounting
    • Technology
    • Wealth Management
  • Newsbytes
  • Podcasts
  • Magazine
    • Subscribe
    • Advertise
    • Magazine Archive
    • Newsletter Archive
    • Podcast Archive
    • Sponsored Content Archive
No Result
View All Result
No Result
View All Result
ADVERTISEMENT
Home Newsbytes

Credit Card Use Rebounds in Second Quarter

November 4, 2019
Reading Time: 1 min read

Credit card use rebounded in the second quarter of 2019, after moderating in the first quarter, according to the American Bankers Association’s latest Credit Card Market Monitor released today. Monthly purchase volumes increased across all risk tiers compared to the first quarter. Year-on-year, purchase volumes were up 5.5% among subprime accounts, 5.3% with super-prime accounts and 1.6% with prime accounts.

The total number of new accounts (opened in the previous 24 months) fell 2.5% compared to a year ago—the sixth consecutive annual decline—reflecting drops in new subprime and prime accounts, which fell to their lowest level in approximately four years. Meanwhile, the total number of credit card accounts rose 2.5% year-on-year, driven mostly by continued growth in the super-prime risk tier. Average credit lines for all accounts fell slightly for super-prime accounts, and increased slightly for prime and subprime accounts. All remained well below recession-era peaks.

“Consumer spending rebounded in the second quarter, and low unemployment and solid wage growth should keep consumers on solid footing through the end of 2019,” said ABA SVP Dan Smith. “At the same time, new account generation is moderating in the prime and subprime risk tiers as issuers take a more cautious approach as they monitor economic data.”

Outstanding credit as a share of disposable income increased four basis points to 5.33% in the second quarter, on par with a year ago. The share of account holders carrying a monthly balance fell 1.3% to reach the lowest level in two years. The share of account holders who paid off their balance in full each month rose to an all-time high of 31.1% since ABA began tracking this metric in 2008.

ADVERTISEMENT
Tags: Credit cardsPayments
ShareTweetPin

Related Posts

ABA, associations urge lawmakers to finalize deal on debt ceiling

ABA urges lawmakers to lift regulatory barriers to bank merger, de novo formation

Community Banking
May 14, 2025

Narrow supervisory standards, inconsistent approval timelines and other regulatory impediments are limiting new bank formation and leading to further consolidation in the financial sector, ABA said.

Bank survey gauges small business financial preparedness

Bank survey gauges small business financial preparedness

Economy
May 13, 2025

Nearly three in four small business owners believe they can withstand revenue shortfalls for only two quarters before becoming concerned about the future of their businesses, according to a recent survey by TD Bank.

Former NCUA chair named acting OCC head

Acting Comptroller Hood outlines OCC priorities

Newsbytes
May 13, 2025

In a recent speech, Acting Comptroller Rodney Hood outlined his top priorities for the OCC, including efforts to promote financial inclusion and expand the banks’ ability to provide cryptocurrency services.

ABA unveils key policy priorities for 2025

ABA announces support for several provisions in budget reconciliation tax package

Ag Banking
May 13, 2025

ABA strongly supports several provisions in the federal budget reconciliation tax package, including language to make permanent the Section 199A pass-through deduction, ABA President and CEO Rob Nichols said.

OCC sees need for regulatory reform in bank merger process

Chickasaw Banc Holding to buy Oklahoma Heritage Bank

Community Banking
May 13, 2025

Chickasaw Banc Holding in Oklahoma City has agreed to buy Oklahoma Heritage Bank in Ada.

Poll: Small business owners optimistic about the future

NFIB: Small-business optimism fell by 1.6 points in April to 95.8

Economy
May 13, 2025

The NFIB Small Business Optimism Index declined by 1.6 points in April to 95.8, the second consecutive month below the 51-year average of 98.

NEWSBYTES

ABA urges lawmakers to lift regulatory barriers to bank merger, de novo formation

May 14, 2025

Bank survey gauges small business financial preparedness

May 13, 2025

Acting Comptroller Hood outlines OCC priorities

May 13, 2025

SPONSORED CONTENT

Choosing the Right Account Opening Platform: 10 Key Considerations for Long-Term Success

Choosing the Right Account Opening Platform: 10 Key Considerations for Long-Term Success

April 25, 2025
Outsourcing: Getting to Go/No-Go

Outsourcing: Getting to Go/No-Go

April 5, 2025
Six Payments Trends Driving the Future of Transactions

Six Payments Trends Driving the Future of Transactions

March 15, 2025
AI for Banks: A Starter Guide for Community and Regional Institutions

AI for Banks: A Starter Guide for Community and Regional Institutions

March 1, 2025

PODCASTS

Podcast: Accelerating banking for quick-service restaurants

May 8, 2025

How a Georgia community bank supports government-guaranteed lending nationwide

May 1, 2025

Podcast: Quantum computing’s shakeup in payments, cybersecurity

April 24, 2025
ADVERTISEMENT

American Bankers Association
1333 New Hampshire Ave NW
Washington, DC 20036
1-800-BANKERS (800-226-5377)
www.aba.com
About ABA
Privacy Policy
Contact ABA

ABA Banking Journal
About ABA Banking Journal
Media Kit
Advertising
Subscribe

© 2025 American Bankers Association. All rights reserved.

No Result
View All Result
  • Topics
    • Ag Banking
    • Commercial Lending
    • Community Banking
    • Compliance and Risk
    • Cybersecurity
    • Economy
    • Human Resources
    • Insurance
    • Legal
    • Mortgage
    • Mutual Funds
    • Payments
    • Policy
    • Retail and Marketing
    • Tax and Accounting
    • Technology
    • Wealth Management
  • Newsbytes
  • Podcasts
  • Magazine
    • Subscribe
    • Advertise
    • Magazine Archive
    • Newsletter Archive
    • Podcast Archive
    • Sponsored Content Archive

© 2025 American Bankers Association. All rights reserved.