Today’s RBA credit card statistics show the continued demise of credit cards in Australia.
The number of active personal credit card accounts fell 2.03 per cent year-on-year to the lowest level since December 2014. This is a drop of 301,749 from June 2018 to June 2019.
Overall, balances accruing interest dropped 6.16 per cent year-on-year, falling to the lowest level in more than 11 years.
Sally Tindall, research director at RateCity.com.au said, “Credit cards have been falling out of favour since early 2018”.
“The number of active personal credit card accounts peaked in January 2018 at 15.4 million, but since then they have consistently fallen away.
“Even the big players in the credit card space, such as Visa and Commonwealth Bank, are acknowledging the shift in the market and the importance of buy-now-pay-later, by making moves into that arena.
“Buy-now-pay-later services are no longer the new kid on the block. As a result, we’re unlikely to see the popularity of credit cards turning around any time soon.”
RBA personal credit card statistics – JUNE 2019
Change MOM %
Change YOY %
Balances accruing interest
Lowest since Dec 2007
No. of personal credit card accounts
Lowest since Dec 2014
(301,749 fewer accounts than last June)
Credit card limits
Lowest since Sept 2015
No. of credit card purchases
Notes: Excludes commercial cards, using original data from the RBA. Data released 12 August 2019