Credit card use falls 13% in year
News from BBC News:

Card transactions take longer and cost shops more to process than does cash

Credit card use fell last year as people turned to cash and debit cards to avoid borrowing, shopkeepers say.

The British Retail Consortium (BRC) which represents 90% of the UK’s stores, say transactions involving credit cards dropped 12.9%.

The number of transactions involving cash also fell, although the average amount spent rose by 13% to £12.93. Debit card use jumped by 15.8%.

The BRC criticised the level of bank charges associated with credit cards.

It pointed out they are the most expensive payments they have to process.

On average in 2010, each retailer paid 1.7p per cash transaction to have the money trans…………… continues on BBC News
… Read the full article
.

Related News:

Higher card use, better payments lift Discover 2Q
News from The Associated Press:

Higher card use, better payments lift Discover 2Q

NEW YORK (AP) — Discover Financial Services on Thursday said its profit more than tripled in its fiscal second quarter as it added new customers, while existing customers used their cards more and got better about making payments on time.

For the three months ended May 31, the Riverwoods, Ill.-based credit card company said net income available to common shareholders rose to $ 593 million, or $ 1.09 per share, compared with $ 185 million, or 33 cents per share, in the year-ago quarter.

That far outpaced the average analyst expectation for earnings of 75 cents per share, according to data provided by FactSet.

Its shares rose 35 cents, or 1.5 percent, to $ 23.94 in afternoon trading. The stock has changed hands between $ 13.33 and $ 25.76 in the past 52 weeks, and is now up almost 30 percent since t…………… continues on The Associated Press
… Read the full article