PSCU Payments Index February 2023: Enhancements to the report bring greater clarity on trends in consumer preferences

by Mike Bell, PSCU

The Fed’s ongoing interest rate hikes appear to be making the desired impact on the economy as inflation is starting to slow. The February edition of the PSCU Payments Index shows growth in credit and debit cards, with debit experiencing slightly stronger growth compared to prior months. Growth rates for transactions and purchases are converging for both products.

Key Takeaways
In this month’s Deep Dive, we outline a few refinements to the PSCU Payments Index, as well as introduce new measures on discretionary and non-discretionary consumer spending. Some key takeaways include:

  • Consumer spending growth on payment cards posted positive results for January, with debit card growth improving more than credit card growth when compared to December growth rates. For January, credit purchases were up 9% and debit purchases were up 7% year over year. Growth in transactions was also strong, with credit up 7% and debit up 6% year over year.

 

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