PaymentsJournal
SUBSCRIBE
  • Analysts Coverage
  • Truth In Data
  • Podcasts
  • Videos
  • Industry Opinions
  • News
  • Resources
No Result
View All Result
PaymentsJournal
  • Analysts Coverage
  • Truth In Data
  • Podcasts
  • Videos
  • Industry Opinions
  • News
  • Resources
No Result
View All Result
PaymentsJournal
No Result
View All Result

Millenials: The Next Wave in Credit Cards, or the End of Cardholders as We Know It?

Brian Riley by Brian Riley
February 27, 2018
in Analysts Coverage
0
Use Personal Credit Cards:

Top 5 Reasons Small Business Owners Use Personal Credit Cards:

2
SHARES
0
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn

The future of credit cards is not in the hands of millennials; at least not until they hit their mid-thirties.

  • Just one out of three millennials carries plastic, according to a Bankrate.com survey, compared to the majority of older Americans. In addition, a Fed survey found the 18 to 24 demographic preferred to pay cash more than others.
  • And if they do carry a card, it tends to be of the prepaid or debit variety, TD Bank found.
  • Millennials are more likely than older generations to have student loans to pay. About 41 percent of them held such debt, according to a 2015 Pew report. That compares to, at their peaks, 26 percent for Generation X; 13 percent for Baby Boomers; and 3 percent for the Silent Generation.

Neither my three college-educated adult kids nor I owe a dime in student loan debt.  Our household is happy to say that we have nothing to do with the $1.5 trillion issue. Between the three, there are 2 professional licenses, 1 Master in Accounting, 2 Bachelors degrees, 1 CPA, 1 BA in (extended) process, 1 Master in Education in process.

  • A breakdown of balances by age suggests that the older people get, the more they rely on credit cards. A FICO study showed 18- to 24-year-olds had an average balance of just over $2,000. With 25- to 34-year-olds, the number almost doubled, said Ethan Dornhelm, vice president of Analytics and Scores from FICO.

Perhaps I am like a vegan butcher,  I use credit cards but rarely revolve debt.  I might sneak in and take advantage of a 0% offer by a card issuer, but short of that I don’t like the idea of paying interest unless I have to.

Hope the kids keep the same perspective.

Overview by Brian Riley, Director, Credit Advisory Service at Mercator Advisory Group

Read the quoted story here

Tags: Credit CardsMillennials
2
SHARES
0
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn

    Analyst Coverage, Payments Data, and News Delivered Daily

    Sign up for the PaymentsJournal Newsletter to get exclusive insight and data from Mercator Advisory Group analysts and industry professionals.

    Must Reads

    cross-border payments

    Cross-Border Payments: Fighting
    E-Commerce Fraud Using Data

    March 20, 2023
    fraud, ChatGPT-4

    How to Fight Fraud While Still Enabling a Great Online Customer Experience

    March 17, 2023
    RTP

    Financial Institutions Without an RTP Strategy Risk Being Left Behind

    March 16, 2023
    visa chargeback

    New Visa Chargeback Guidelines Will Be a Game Changer

    March 15, 2023
    liquidity management

    Liquidity Management Takes on Increasing Importance in Uncertain Economic Times

    March 14, 2023
    payments

    Key Challenges from Growing Payment Methods and Volume

    March 13, 2023
    Data Governance is a Journey, financial data

    How FIs Can Power Their Operations with a Modern Data Architecture

    March 10, 2023
    ISO 20022

    How Banks Can Realize Business Benefits and Reduce Payments Fraud With ISO 20022

    March 9, 2023

    Linkedin-in Twitter

    Advertise With Us | About Us | Terms of Use | Privacy Policy | Subscribe
    ©2023 PaymentsJournal.com

    • Analysts Coverage
    • Truth In Data
    • Podcasts
    • Videos
    Menu
    • Analysts Coverage
    • Truth In Data
    • Podcasts
    • Videos
    • Industry Opinions
    • Recent News
    • Resources
    Menu
    • Industry Opinions
    • Recent News
    • Resources
    • Analysts Coverage
    • Truth In Data
    • Podcasts
    • Industry Opinions
    • Faster Payments
    • News
    • Jobs
    • Events
    No Result
    View All Result

      Register to download the Autorek complimentary report: Payments Industry Outlook 2023: