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Credit Card Issuers Must Prepare for Another COVID Wave

New Mercator Advisory Group report reveals potential risks for credit card issuers amidst a protracted pandemic.

Image of David Lemon By David Lemon.
Updated Dec 30, 2021

BOSTON (PRWEB) December 30, 2021 - Mercator Advisory Group released a report covering the credit card issuer risks in a world of COVID variants, titled Credit Card Risk, Protracted Pandemic, and the Household Budget: Advice for Issuers. The research explains current credit card risk and the impact on household budgets as inflation grows, interest rates increase, and the workplace continues to be disrupted.

The research explains why the latest COVID variation may affect consumers and their spending habits differently than it did in 2020.

'The economic relief programs offered by the U.S. and many other countries might be impossible if the pandemic rebounds, comments Brian Riley, Director, Credit Advisory, at Mercator Advisory Group, and the author of the research note. Riley continues: Credit card issuers must keep a keen eye on the impact of inflation, rising interest rates, and employment. Issuers underwrite with higher spreads than ever, but the interest opportunity may not be sufficient if credit losses shift.

Highlights of the research note include:

This document contains 20 pages and 10 exhibits.

Companies mentioned in this research note include: American Express, Capital One, Chase, Citi, FICO, FIS, Fiserv, Mastercard, TSYS, Visa

Members of Mercator Advisory Group's Credit Advisory Service have access to these reports as well as the upcoming research for the year ahead, presentations, analyst access, and other membership benefits. For more information and media inquiries, please call Mercator Advisory Group's main line: (781) 419-1700 or send an email to media@mercatoradvisorygroup.com.

For free industry news, opinions, research, company information, and more, visit us at http://www.PaymentsJournal.com.

About Mercator Advisory Group Mercator Advisory Group is the leading independent research and advisory services firm exclusively focused on the payments and banking industries. We deliver pragmatic and timely research and advice designed to help our clients uncover the most lucrative opportunities to maximize revenue growth and contain costs. Our clients range from the world's largest payment issuers, acquirers, processors, merchants and associations to leading technology providers and investors. Mercator Advisory Group is also the publisher of the online payments and banking news and information portal PaymentsJournal.com.