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Table of Contents

Lead Story

All aboard the processing train


Industry Update

Credit card spending increases

Reading the tea leaves on Apple and NFC

Weighing in on alternative payments

Trade Association News


GS Advisory Board:
Game changers for 2011 - Part 2

Salaries in the payments industry

A checklist for advertising effectiveness

Selling Prepaid

Prepaid in brief

Rewards expand with BillShrink

The value of stored-value for ISOs and merchants


Bold steps needed on fraud front

Patti Murphy
The Takoma Group

Retaining merchants during a portfolio acquisition

Daniel Federgreen


Street SmartsSM:
POS systems, yea or nay?

Ken Musante
Eureka Payments LLC

Selling in the digital age

Dale S. Laszig
Castles Technology Co. Ltd.

The decreasing primacy of price

Theodore Svoronos
Merchant University

Referrals: Do you play the numbers game?

Bill Pirtle
MPCT Publishing Co.

Marketing basics

Nicholas Cucci
Network Merchants Inc.

Company Profile

VeriCheck Inc.

New Products

Upward mobility, no strings attached

Pay Anywhere
North American Bancard

An app to cinch the deal

POS Portal Mobile App
POS Portal Inc.


The fine art - and science - of selling


10 Years ago in
The Green Sheet


Resource Guide



2011 Calendar of events

A Bigger Thing

The Green Sheet Online Edition

February 28, 2011  •  Issue 11:02:02

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Credit card spending increases

According to two reliable sources - First Data Corp.'s SpendTrend and the U.S. Federal Reserve - consumer credit card activity was up during December 2010 and January 2011. And some industry experts feel this may indicate consumer confidence is on the rise.

SpendTrend indicates growth

A recently issued SpendTrend analysis for January 2011 indicates that transaction growth on credit cards was at a 13-month high in January, and year-over-year credit dollar volume growth was the second highest in over a year.

The report tracks same-store consumer spending at U.S. merchant locations by credit, signature debit, PIN debit, electronic benefit transfer and check at U.S. merchant locations.

The number of credit card transactions increased 5.9 percent year-over-year in January, while dollar volume growth for credit card purchases grew by 7.2 percent, according to SpendTrend.

In the report, Silvio Tavares, Senior Vice President and Division Manager of First Data Information and Analytics Services, stated, "Consumer spending during the fourth quarter of 2010 and the momentum from the strong holiday season carried over into January."

The SpendTrend report also pointed to year-over-year dollar volume growth increases in January for signature debit (9.7 percent) and PIN debit (5.4 percent) transactions; it also revealed a decrease for payments by check (-10.4 percent).

The Fed sees optimism

Meanwhile, figures recently released by the Fed for consumer credit card transactions also showed an increase in December 2010. It's the first time since mid-2008 that consumer credit card spending increased, according to the report.

The Fed report showed consumer revolving credit increased $2.3 billion, at an annual rate of 3.5 percent, to $800.5 billion during the last month of 2010. One or two months does not a trend make, but increased consumer spending, taken in concert with other signs, could strengthen the notion that the economy is improving.

Joanna Stavins, Senior Economist and Policy Advisor for the Federal Reserve Bank of Boston, refrained from sweeping predictions on economic recovery, but she said she is happy to see the increase "because that is an indication that people are more optimistic. It's a self-fulfilling prophecy in many ways: as long as consumers are feeling more confident ... that might indicate other things are going to improve."

Notice to readers: These are archived articles. Contact names or information may be out of date. We regret any inconvenience.

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