Interesting Facts about Credit Card Processing

It is easy to take it for granted that a transaction will be completed with the swipe of a credit card. But, how much do you know about the payment processing industry? Here are a few interesting facts to help you learn more:

  • 100 Years Old: Even though credit card transactions are often thought as modern-day technology, the first credit card was invented almost 100 years ago. In the early 1920’s, location specific charge cards were used at hotels and gas stations that implemented these systems.
  • Universal Credit Cards: It wasn’t until the 1950’s when universal credit cards were invented. The Diner’s Club offered cards that could be used at multiple stores and locations.
  • 4 Billion Cards: With an estimated 14.4 billion credit cards in the world right now, you could circle the world 3.5 times by placing all of those cards side by side. There are 160 million credit cards in the United States alone.
  • 2 Cards Per Person: The population of the world is approximately 7.4 billion. Since there are 14.4 billion credit cards in circulation, it averages out to about 2 cards per person.
  • Credit Card Offers: In the United States, each household receives an average of 6 credit offers per month. Approximately 500,000 credit card applications are submitted on a daily basis.
  • Revolving Credit: At first, these cards were called “charge cards.” The customer was required to pay the balance in full each month. Revolving credit didn’t come around until 1959.
  • Credit Card Balances: Since revolving credit was introduced, the national debt burden has increased over the years. In the United States, the average credit card balance is just over $6,000. Nationwide, more than $100 billion is paid annually on credit card fees and interest costs.
  • Transaction Amount: When someone pays with a credit card, the average transaction is 12 – 18% higher than customers paying with cash. Even though small businesses incur costs for transaction fees, the higher spending makes up the difference.

There’s no doubt that credit card transactions are a big part of modern-day business. If you are a business owner and you need a good payment system, then our team is here to help. Call to learn more about the processing solutions that are available for your company.

By |2018-10-10T15:21:12+00:00October 17th, 2018|Credit Card Processing|