Payment instruments help households manage their income, with options ranging from traditional methods such as cash and checks to digital tools like debit cards and ACH transfers. Over the years, usage of these payment instruments has gone through a huge transformation with increased utilization of credit cards for purchases, mobile payments for household bills, and debit cards for regular household expenses. Now there is a wide range of payment solutions available to suit our spending habits, providing flexibility that can help us stay on top of our household finances.
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Data for today’s episode is provided by Javelin Strategy & Research’s Report :Premium Credit Cards in 2022
5 Top Payment Instruments for Higher Household Income
For those with a household income of greater than $150,000:
- 44% use credit cards
- 20% use debit cards
- 12 % use ACH
- 11% use cash
- 6% use mobile payments
About Report
Premium credit card products have existed since the 1980s and are targeted toward the mass affluent population. This customer segment differs from the general-purpose credit card market, with above-average credit scores and household incomes of more than $100,000. The rewards on premium cards are typically focused on travel, often rich with options, and boast large sign-up bonuses, but are they sustainable?
In this report, we examine current premium card offerings, rewards, and trends and offer our strategic insights into premium credit card rewards. Readers will learn about the premium card market through a comparative analysis of current card offerings and market research data about the consumers that use these card products. We identify current problems in credit card reward offerings and advise on creating a sustainable card rewards platform. Readers will learn strategies for maximizing card rewards programs. We also examine how the current legislation may affect the credit card rewards market.
