Credit Card Use Declines Again

Quarterly reports from Mastercard and Visa show declines in credit card use again this quarter, as people use debit cards more often. The shift to debit cards has benefited Visa, which has the largest share of debit cards. However, the shift toward Visa is probably not a durable trend. Anecdotal reports suggest that people who shift from credit cards to debit cards have a tendency to shift again, from debit cards to cash, after they experience the various risks involved in debit card use.