Where will credit cards evolve in a Digital World?

Credit cards are handy for consumers they bundle electronic payment consumer protection, loyalty incentives and revolving credit into a single plastic package Americans spend around 3½ trillion dollars on credit cards that exceeds debit cards to be sure and it represents about 20% of the U

S GDP Obviously the growth of e-commerce payments is disproportionately pushing the percentage of credit cards use People are starting to get comfortable with digital channels generally and this is becoming the majority, so we're going to start to see a lot more chances for all of the services included in the credit card to make it to consumers and the little bit different way people are starting to get comfortable with actively configuring how their card is used So we have services such as Greenlight that allow parents to program where and how much their kids might be spending on a on a credit card

Revolute is an account that's had a lot of popularity in Europe and that's letting consumers switch the currency in which the card makes the payment They've now announced that they're headed to the US Revolving credit is hugely popular as a feature of cards and that leads to an average of over four credit cards per household in the US But peer-to-peer and other alternative personal loans are becoming easy to access digitally which should put a lot of pressure on the revolving credit offerings linked to cards Of course most other industrialized countries already use alternatives to revolving credit especially when we're talking about e-commerce purchases so even the form factor of the card itself is in question

Apple's announcement at its developer conference last week that it's going to open some of its contactless features on its devices follow similar movements from the Android camp and so I think we're going to see a lot more ways to pay that don't involve pulling out a piece of plastic, but use the smart phone that we really never leave home without it's an interesting time of change for consumer tool that's been trusted for two generations