A report from Worldpay from FIS forecasts how people’s payment methods will change by 2024.
COVID-19 disrupted much of the world. Lockdown and social distancing shuttered traditional, brick-and-mortar stores, forcing more consumers to shop online. As people’s shopping habits changed, so did their payment methods. Credit cards declined in popularity while digital wallets and buy now, pay later (BNPL) services surged.
While bank transfers, charge cards, cash on delivery and other services are expected to decline, credit cards remained the top e-commerce payment method among North American consumers in 2020 with 32 percent of the market. However, credit cards faced a 7 percent decline from 2019 and projections show that credit card usage will continue to drop by 2024, accounting for 26.7 percent of e-com payments in four years. Consumers will continue to depend less on credit because they’re worried about the recession and increasing unemployment, according to FIS.
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