 "Credit Card, Shopping")
Credit score Card, Purchasing(Picture: Shutterstock)
In June 2024, India noticed a big enhance within the variety of credit score, debit, and pay as you go playing cards, reaching a complete of 1.451 billion playing cards—an 11 per cent leap from the earlier 12 months, in keeping with the India Digital Funds report for the primary half. of 2024 (January to June) by fee expertise service supplier Worldline.
Breakdown of Playing cards
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Among the many complete playing cards:
- Bank cards: 103.8 million (up 26% from January 2023)
- Debit playing cards: 979.71 million (up 4%)
- Pay as you go playing cards: 367.5 million (up 32%)
Personal sector banks, like HDFC and ICICI, issued 71% of all bank cards, whereas public sector banks, akin to SBI and Financial institution of Baroda, led the cost with 65 per cent of debit playing cards. This reveals a pattern the place personal banks are extra keen to take dangers with credit score, whereas public banks deal with serving a wider inhabitants, together with these with out financial institution accounts.
Transaction Tendencies
Within the first half of 2024, card transactions totaled 3.735 billion, which is a 3% enhance in comparison with the identical interval final 12 months. Nonetheless, there have been blended outcomes for various card varieties:
- Bank card transactions: Rose considerably to 2.04 billion (up 32%).
- Debit card transactions: Dropped to 0.92 billion, down 33% from 1.379 billion.
- Pay as you go card transactions: Elevated to 0.77 billion, an 8% rise.
The whole worth of card transactions additionally surged to Rs 13.49 trillion, marking a 21% enhance. The driving drive was bank cards, which noticed a whopping 37% rise in transaction worth, reaching Rs 10.62 trillion.
Common Spending
The typical quantity spent per transaction (often called the Common Ticket Dimension or ATS) additionally modified:
Bank cards:
The ATS for bank cards rose to Rs 5,190 in comparison with Rs 4,992 within the first half of 2023. This represents a 4% enhance.
Pay as you go Playing cards:
For pay as you go playing cards, the ATS elevated to Rs 357 from Rs 325 in the identical interval final 12 months, marking a ten% rise.
Debit Playing cards:
Debit playing cards noticed an ATS of Rs 2,830, up from Rs 2,303 within the first half of 2023, which interprets to a considerable 23% enhance. Nonetheless, it is necessary to notice that this enhance in common spending per transaction is primarily attributed to a decline within the total variety of debit card transactions. As fewer transactions occurred, the full spending worth did not drop as a lot, thus elevating the typical ticket dimension.
POS Terminal Transactions
Transactions by way of Level of Sale (POS) terminals reached 2.16 billion, a 7% enhance year-over-year. Bank card utilization at POS noticed a rise of 30%, whereas debit card utilization fell by 30%.
Pay as you go playing cards, nevertheless, surged by 82%, though this spike is partly as a result of adjustments in reporting strategies.
The worth of those POS transactions additionally grew to Rs 5.395 trillion, with bank card values rising 21% to Rs 3.58 trillion. Debit card values, in distinction, fell to Rs 1.75 trillion (down 18%).
General, the information reveals a transparent shift in how customers are utilizing playing cards in India, with bank cards changing into more and more common, particularly for higher-value transactions.
“Using bank cards has grown, reflecting its stronghold in high-value transactions, whereas debit card volumes have seen a gradual decline, reflecting UPI’s dominance,” famous the report.
First Printed: Oct 11 2024 | 11:00 AM ist
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Kanishk Singh has always had a keen interest in fast-paced cars. For the past three years, he has been writing about automobiles, but his fascination with cars dates back even further. He thoroughly enjoys learning about their features and expressing his thoughts through his writing. Kanishk also has a profound interest in the stock market, shares, and business strategies. He possesses a wealth of knowledge on these subjects and consistently writes articles on them. Currently, he is working as a writer for Lattestnews24, specifically focusing on the Automobile, Finance, and Business categories. His well-crafted words are highly appreciated by the readers, as they find them both informative and creative.