The Credit Card Market is Segmented by Card Type (general Purpose Credit Cards and Specialty and Other Credit Cards), by Application (food and Groceries, Health and Pharmacy, Restaurants and Bars, Consumer Electronics, Media and Entertainment, Travel, and Tourism, and Other Applications), by Provider (Visa, Mastercard, and Others), and by Geography (North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa). The Report Offers Market Size and Forecasts for the Credit Card Market in Value (USD) for all the Above Segments.
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*Disclaimer: Major Players sorted in no particular order
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The Credit Cards Market size in terms of transaction value is expected to grow from USD 14.31 trillion in 2024 to USD 17.14 trillion by 2029, at a CAGR of 3.67% during the forecast period (2024-2029).
Credit cards are a part of everyday life. The average credit card debt per borrower was USD 5,474 or about USD 617 higher than the year before. This shift may be due to inflation and marks a move in the wrong direction. Collectively, this adds up to USD 38 billion in new debt in a single quarter and represents a 15% increase year-over-year, and this is the largest change in two decades. In two decades, the percentage of transactions made by credit cards is higher for households with higher incomes. It jumps to 34% for households earning USD 100 million to USD 150 million and 44% for those earning over USD 150 million.
There is a similar trend when considering educational status and credit usage. 96% of college graduates hold a credit card, while only 52% still need to complete high school. Asian Americans (93%) and Caucasian Americans (88%) were the most likely demographic groups to hold credit cards. The average credit card interest rate is 24.08%, according to Forbes Advisor's credit card rate report as of mid-March 2023.
Paying off credit card bills in full every month is always the best course of action, but when that's not possible, it's still important to make the minimum payment. You can avoid a delinquent mark on your credit report and several credit card fees by making the minimum payment. Having a strong credit rating can help you qualify for the best credit cards and the most competitive rates for mortgages, auto loans, and other lending products.
Pre-pandemic payments as a percentage of the total balance were stable and followed normal seasonal trends. In the initial stages of the pandemic, this fell as delinquency increased due to government support or stimulus packages being set up and implemented. Once these were in place, rates started to rise with the usual fluctuation.
The number of cards gives a crude idea of market saturation. Visa is a prominent processing network, and its cards are accepted by businesses in more than 200 countries and territories around the world. Visa cards are payment cards that use the Visa network. Financial institutions partner with Visa to use the company's network. Visa cards come with a 16-digit account number, a microchip, and a magnetic stripe. Types of Visa cards include credit cards, debit cards, prepaid cards, and gift cards. Other payment processing companies with ownership of payment processing networks include Mastercard, American Express, and Discover. Visa credit cards give you the convenience and security to make purchases, pay bills, or get cash from over 2 million ATMs worldwide.
The United States, within North America, commands a dominant position in the global credit card market, bolstered by several key factors. Firstly, the nation boasts a highly developed financial infrastructure and a mature credit card industry. This industry is characterized by an extensive network of credit card issuers, payment processors, and financial institutions. Notably, major credit card networks like Visa, Mastercard, American Express, and Discover have their headquarters in the United States, further solidifying its global leadership.
Secondly, credit card usage is deeply ingrained in consumer spending habits, particularly in the United States. The widespread acceptance of credit cards for everyday purchases, spanning retail, dining, travel, and online shopping, contributes to the region's robust credit card penetration. Moreover, the prevalent culture of rewards and incentives tied to credit card usage, such as cashback, travel perks, and loyalty programs, further fuels consumer preference for credit cards.
Additionally, North America's prominence in e-commerce and digital payments significantly propels the credit card market's growth. The United States, in particular, boasts a mature e-commerce landscape, with a sizable population relying on credit cards for secure and seamless online transactions.
The global credit cards market is highly competitive and fragmented, as various international and regional vendors provide new technology. The key players are emerging to improve their products and delivery through techniques and enhance their products to have a competitive edge over others.
Furthermore, the companies are involved in acquisitions and expansions to improve their product offerings. The report highlights the numerous strategic initiatives, such as new business deals and collaborations, mergers and acquisitions, joint ventures, product launches, and technological upgrades, implemented by the leading market contenders to set a firm foot in the market. Hence, this section includes the company profiles of the key players and industry analysis. American Express, Banco Ita, Bank of America Merrill Lynch, Bank of Brazil, and Bank of East Asia offer the global credit card market.
*Disclaimer: Major Players sorted in no particular order
A complete background analysis of the credit card market, which includes an assessment of the economy, market overview, market size estimation for key segments, emerging trends in the market, market dynamics, and key company profiles, is covered in the report. The credit card market is segmented by card type. By card type, the market is sub-segmented into general-purpose credit cards and specialty and other credit cards. By application, the market is sub-segmented into food and groceries, health and pharmacy, restaurants, and bars, consumer electronics, media and entertainment, travel and tourism, and other applications. By provider, the market is sub-segmented into visa, mastercard, and others, and by geography, the market is sub-segmented into North America, Europe, Asia-Pacific, Latin America, the Middle East, and Africa. The report offers market size and forecasts for the credit card market in value (USD) for all the above segments.
| By Card Type |
| General Purpose Credit Cards |
| Specialty & Other Credit Cards |
| By Application |
| Food & Groceries |
| Health & Pharmacy |
| Restaurants & Bars |
| Consumer Electronics |
| Media & Entertainment |
| Travel & Tourism |
| Other Applications |
| By Provider |
| Visa |
| MasterCard |
| Other Providers |
| North America |
| United States |
| Canada |
| Rest of North America |
| Europe |
| UK |
| Germany |
| France |
| Italy |
| Netherlands |
| Rest of Europe |
| Asia-Pacific |
| China |
| Japan |
| India |
| Australia |
| Singapore |
| South Korea |
| Rest of Asia-Pacific |
| Middle East & Africa |
| Saudi Arabia |
| Egypt |
| UAE |
| Rest of Middle East and Africa |
