Credit Card Trends: Spending in March rises 20% to Rs 1.64 lakh crore; know reasons

Credit Card Report: Credit card spending saw a phenomenal growth in the month of March as it soared by 20 per cent Year-on-Year (YoY). While online credit card spending was up by 20 per cent, offline spending also witnessed nearly similar growth as it jumped by 19 per cent YoY.

HDFC Bank is the market leader in credit card issuance with a 20.20 per cent share.

SBI and ICICI Bank are in the second and third spots, respectively.

Overall credit card spending for March was Rs 1.64 lakh crore.

Among it, online credit card spending crossed a record Rs 1 lakh crore with 20% YoY growth.

In the same month, offline transactions also grew by 19 per cent YoY to reach Rs 60,378 crore.

Total number of credit cards also saw a jump of 20 per cent YoY to 10.2 crore in March.

With this leap, the total number of credit cards reached 10 crore for the first time in the month.

Reasons for increase in credit card spending

Credit card volumes improve due to an increase in low-value transactions by customers.

POS volume grew by 28 per cent YoY at Rs 18 crore.

E-commerce volume grew by 41 per cent YoY at Rs 16.4 crore,

While credit card spending rose, there was a 30 per cent YoY decline in debit card point of sale transactions.

At the same time, there was a slump of 41 per cent YoY in online debit card transactions.

Credit card market share

HDFC Bank 20.2%
SBI 18.5%
ICICI Bank 16.6%
Axis Bank 14%
Kotak Mahindra Bank 5.8%