Marqeta releases second annual State of Credit Report

We’re excited to introduce our second annual State of Credit Report “The changing role of credit: How consumers are engaging with an evolving range of credit options amid a changing economic landscape.” This report highlights consumer sentiment around spending trends and credit experiences and preferences. In partnership with Propeller Insights, we surveyed 4,000 consumers from the U.S., U.K., and Australia, marking the second time we have surveyed consumers globally about their credit preferences.

Our report had some clear takeaways:

Cost of living worries weigh heavily on consumers
The dueling anxieties of cost of living increases and rising interest rates are weighing heavily on US, UK and Australian consumers, and the quickly evolving credit card and BNPL markets are becoming increasingly important to their financial well-being. Two-thirds of US consumers and 57% of UK consumers surveyed said that they’d relied on credit cards to make ends meet in the last 12 months.

Credit cards and Buy Now, Pay Later services rise in popularity for consumers looking to cope with inflation
Actively rising inflation rates and continued consumer uncertainty are denting Australian consumer confidence and raising awareness of credit and BNPL options. Six-out-of-ten Australians surveyed said they’d used credit cards to help them make ends meet in the last 12 months, while 45% surveyed had turned to BNPL as a financial lifeline.

Increased financial savvy has raised consumer expectations of their credit card providers and sparked interest in alternatives to traditional credit
As consumers become more budget conscious, they’re looking for more from their credit card providers. Those surveyed pointed to more personalized offerings and rewards as priorities, such as extra points or cashback for categories where they spend the most money (68% of US consumers) and offers from merchants they have shopped with in the past (43% of US consumers).

What does the future hold for the credit and lending market?
We discuss these details and more in our global 2022 State of Credit Report. Download the full report here: https://www.marqeta.com/resources/resource/2022-state-of-credit

Take a look at our previous 2021 State of Credit Report here.