Visa Credit Card Use Ramped Up in 2023
Despite inflation dropping from a June 2022 peak, consumers worldwide still pay higher prices for goods and services than ever. High price tags on everything, from groceries and medication to gas and repair bills, have made life costs unbearable for millions and forced many to turn to credit cards to make ends meet. This surge in the use of credit cards is best shown by the total number of transactions and the payment volume of Visa, the largest credit card provider in the market.
According to data presented by AltIndex.com, Visa hit 70.8 billion credit card transactions in the nine months of the year, or six billion more than in the same period last year.
2.5 billion more Transactions than in the Entire 2022
Visa has had a lion’s share in the credit card market for years. According to Money Crashers data, Visa processed 61.6% of all credit card transactions in the United States and 40% globally last year, proving its title of the world’s biggest credit card payment processor by transaction volume. However, the final 2023 figures will probably be even higher, as more people than ever use their Visa credit cards to pay the costs of living.
According to Statista and the official Visa data, the quarterly number of Visa credit card transactions processed for payments has jumped by 10% year-over-year and hit 24.9 billion in Q3 2023, the highest number the company has ever seen. Although Visa credit cards enjoy the highest popularity in the United States, Americans made only one-third of all transactions in Q3, or 8.6 billion. Most transactions, or 16.8 billion, were international, mainly from Asia Pacific and Europe.
Moreover, the company’s financial results show that Visa broke last year’s record of 87.4 billion transactions three months before the year’s end. In the nine months of 2023, people worldwide made more than 70.8 billion Visa credit card transactions, six billion more than in the same period a year ago and 2.5 billion more than last year.
Total Payment Volume Surged by 42% Year-over-Year
The surging number of transactions in 2023 has helped Visa’s total payment volume set a new record. Although the overall transaction value of Visa’s credit cards remained around $1.5trn per quarter, the nine-month results show impressive year-over-year growth.
Between January and September 2023, Visa credit cards hit a whopping $6.2trn in total payment volume, 42% more than in the same period a year ago and $324bn more than in the entire 2022.
The impressive nine-month results have helped the credit card issuer to add nearly $74bn to its stock value year-over-year. In November 2022, Visa’s market cap was around $403bn, and now it’s over $476bn. According to the AltIndex platform, the overall sentiment for investing in Visa on the top investing forums is positive. The company has a sentiment score of 82 out of 100 and overperforms most of its industry peers.
The full story and statistics can be found here: https://altindex.com/news/visa-credit-card-usage-jumps