Debit Card Spending Jumps 8.8% As Consumers Keep Spending
By CU Today Staff —
TAMPA—July card spending continued to show solid consumer engagement, with debit purchases again outpacing credit. Credit purchase growth remained positive but slowed from recent highs, according to the August edition of the Velera Payments Index.
Back-to-school shopping helped support July spending, offsetting some of the impact from promotional retail activity that shifted from July last year to June this year. Consumer spending also benefited from a generally supportive economic backdrop, including steady wage growth, mixed-to-improving consumer sentiment and some easing in inflation.
“Business cards may represent a smaller share of overall card activity, but they point to a meaningful opportunity for credit unions,” said Sheba Carnes, vice president, product management, Velera. “Small businesses are often highly engaged relationships, and many already look to credit unions for service, guidance and community connection. As these businesses expand, credit unions have an opportunity to grow with them by offering the payment solutions, expense management tools and financial support that help them manage cash flow, separate business and personal spending, and deepen the relationship over time.”
Velera pointed to key takeaways for July:
The full report is available for download here.
Originally reported by CU Today.