Credit cards have continued to remain popular over the years, but there are signs that their popularity may be waning. According to PULSE’s 2021 Issuer Study, while debit card transactions were slightly down, total debit spending grew 8% year-over-year. Much of that growth is due to the ticket sizes of these transactions, which increased from an average of $40.50 in 2019 to $44.80 in 2020.
In addition, younger generations are not embracing credit cards as much as generations past. There’s also the additional factor of the increased use of digital wallets and payment methods such as Apple Pay and what impact they will have on credit card use. While it is still unclear if debit will become more of a payment mainstay or if this is just a passing trend, credit unions can’t count out debit just yet, and it will necessary to continue offering them to members who want them.