Consumer Payment Card News

Cashless USA

A new government study has found that electronic payments now exceed two-thirds of all non-cash payments. The number of non-cash payments in the U.S. hit 93.3 billion transactions with a value of $75.8 trillion in 2006. The “2007 Federal Reserve Payments Study” determined that the number of checks paid is decreasing by 6.4% per year. The Federal Reserve report says the number of electronic payments grew 12.4% per year from 2003 to 2006. The proportion of electronic payments in non-cash payments increased from 54.2% to 67.2% over the same period. The value of electronic payments increased 8.9% per year, growing from 39% of non-cash payments in 2003 to 45% percent in 2006. Payments made by debit, credit, or EBT cards were over half of all non-cash payments in 2006 but only 4.1% of the value. In contrast, ACH payments were only 15.6% of non-cash payments but 40.8% of value. Debit card payments increased 17.5% per year from 2003 to 2006. PIN debit payments increased by 20.6% per year compared to 15.8% for signature debit payments. The total increase in signature debit payments per year (5.7 billion) exceeded the total increase in PIN debit payments (4.0 billion).

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