In the lingering aftermath of the Recession, significant numbers of consumers have opted to switch from credit cards to debit cards. This switch from credit (pay later) to debit (pay now) reflects new domestic budget constraints, consumer skittishness arising from job loss or fear of job loss, and the loss of net worth pursuant to the market crash of 2008, including a decline in home equity among many consumers. When consumers were hit with the one-two-three punch of a stock market crash combined with plummeting real estate prices and falling earned income, seemingly inexorable and simultaneous changes occurred in consumer spending.  However, as debit card programs shed their rewards programs and credit card marketing (including direct mail offers) sharply picks up, consumers have made a hard right turn to using their credit cards again.  This brief white paper draws from our report on Consumer Payments in the U.S: Trends Driving the Credit, Debit, and Prepaid Card Industries. 

Related Reports:

Private Label Credit Cards in the U.S., 8th Edition
May 31, 2013 - LA4932843 - $3,995.00

Mobile and Alternative Payments in Mexico
Apr 30, 2013 - LA4963976 - $4,250.00

Financial Services for Small Businesses in the U.S., 2nd Edition
Mar 8, 2013 - LA4870357 - $3,995.00

The Credit Card Market in China: Opportunities for Foreign Firms
Jan 1, 2013 - LA4863414 - $3,750.00

Consumer Payments in the U.S.: The Latino Market
Aug 27, 2012 - LA4868646 - $3,995.00

Prepaid and Gift Cards in the U.S., 3rd Edition
Jun 22, 2012 - LA6501320 - $4,295.00

Debit Cards in the U.S., 4th Edition
May 24, 2012 - LA6385017 - $4,295.00

Millennials in the U.S.
Apr 23, 2012 - LA3867595 - $3,850.00

Commercial Payment Cards: The U.S. and Global Markets and Trends, 7th Edition
Mar 1, 2012 - LA6402704 - $4,250.00

Consumer Payments in the U.S.: Trends Driving the Credit, Debit, and Prepaid Card Industries
Feb 1, 2012 - LA6497843 - $3,995.00