Contactless credit card transactions caught up with their debit counterparts as a percentage of volume in August, with 17% of total card volume present, as tracked in the PSCU Monthly Payments Index, attributed to the payment form. This corresponds to the share of contactless debit transactions.
PSCU, a credit union services organization based in St. Petersburg, Florida, issues the PSCU Payments Index as a means of monitoring payment activity.
Contactless credit transactions represented only 10% of the total volume of credit cards on the card in August 2020. The share of the debit version rose to 17% from 12% in the same month last year.
Mobile wallets has also experienced strong growth. Mobile wallet credit transaction volume increased 96% in August from August 2019. “Although credit purchase dollars edged down from last month’s growth, performance was still strong at + 122% compared to 2019. The average purchase of mobile wallet credit has increased. $ 3.56, up 13%, to $ 30.86 in August 2021 from August 2019, ”the index reported.
The mobile wallet debit business grew 145% in transaction volume in August 2021 compared to August 2019. The average mobile wallet debit purchase was $ 18.21, up 22% from compared to $ 14.99 two years ago.
Among the trader categories in the index, those related to back-to-school shopping increased compared to last year. Credit purchases grew 18% year-on-year and debit purchases increased by 12%. “This observation is influenced by multiple factors, including the difficult growth environment / credit activity in 2020, the debit activity having experienced substantial growth during this period,” notes the index.
Sportswear stores saw the strongest growth, with credit purchases up 74% and debit purchases up 63% year-on-year. Stationery, office and school supply stores posted declines of 7% for credit and 11% for debit over the same period.
Of the top three retailers — Amazon.com Inc., Target Corp. and Walmart Inc. — Target reported 21% credit growth and 11% debit purchase growth in August from a year ago. Credit purchases were up 12% and debits up 11% for Walmart and Amazon saw a 6% increase in credit purchases and a 9% increase in debit purchases.