The Credit Card Issuance industry has continued to grow at steady rates. Total balance of credit card debt outstanding is forecast to grow at an annualised 3.2% over the five years through 2014-15, primarily driven by higher discretionary income levels and a high Australian dollar over this period. Despite households still deleveraging their financial position and the ratio of credit card debt to discretionary income falling, the overall levels of discretionary income levels have increased over the past five years, driving the absolute level of consumption up.
Operators in this industry issue credit and charge cards to businesses and consumers. These cards provide users with a line of credit to use for purchases or cash advances. Credit card balances roll over month to month and can be repaid in full or by instalment. Charge card balances must be paid in full each month. The cards are not issued directly by Visa, MasterCard, Diners Club or American Express. Instead, these companies provide the transaction processing networks.
The report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecast, growth rates and an analysis of the industry key players and their market shares.