PYMNTS, April 17, 2024, National Banks’ Reign Over Primary Credit Cards Dropped To 68%
This decline is even more remarkable when factoring in the inherent advantage national banks have when it comes to issuing cards. Not only do national banks lead the market in managing consumer bank accounts, but they also issue the most credit cards in the industry. Among the respondents we surveyed who have their primary bank account with a national bank, 82% also have their primary credit card with that same institution.
Despite this disparity, CUs and community banks have been quietly strengthening their positions in the consumer credit card market in recent years. CUs increased their share of primary credit cards from 6% in 2020 to 8.3% in 2023. Community banks more than doubled their shares, moving from 2.3% to 5.1% in the same period. Though modest when compared to the big banks, these shifts represent an undeniable trend.
