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Velera releases September 2026 edition of Velera Payments Index

Thursday, September 17, 2026 — 18:23:44 (UTC)

Today, Velera – the nation’s premier payments CUSO and an integrated financial technology solutions provider – published the September edition of the Velera Payments Index, which takes a deep dive into the rapid growth of online gambling and prediction markets.

St. Petersburg, Flas., Sept. 17, 2026—August card spending growth reflected a continued positive trend in consumer engagement. While debit purchase growth continued to outperform, credit purchase growth remained positive, but declined from recent highs. Spending in August was supported by back-to-school shopping and elevated gasoline prices. Although consumer sentiment softened and wage growth signals remained mixed amid inflation uncertainty, the broader economic environment remained generally supportive of consumer spending.

Consumer confidence indicators softened in August, reflecting ongoing uncertainty related to gasoline prices and tariffs. The University of Michigan’s Index of Consumer Sentiment fell to 51.7, down 6.3% from July and marking its second consecutive monthly decline. Higher gas prices and concerns over tariffs were the most frequently cited factors among survey respondents. Consumer sentiment remained 13% below its level from a year ago, underscoring the continued impact of elevated prices on consumers’ economic outlook. Similarly, the Conference Board’s Consumer Confidence Index fell 0.8 points to 89.4, down from 90.2 in July.

The labor market showed signs of strengthening in August, rebounding from previous months. The Bureau of Labor Statistics (BLS) reported a gain of 162,000 jobs, in contrast with the ADP jobs report, which showed private-sector payrolls increased by only 38,000 jobs in August, with hiring slowing to the lowest rate since January. Gains were concentrated in education, health care, construction and leisure and hospitality services, while employment declined in manufacturing, as well as professional services and information. The unemployment rate was unchanged at 4.1%, affected by the labor force participation rate rising to 61.6%, while wage growth also slowed to its lowest pace of 2026 at 3.1%.

Inflation trends moved in a less favorable direction for consumers than in prior months. The U.S. Consumer Price Index (CPI) rose 0.4%, bringing the 12-month annual inflation rate to 3.4%, unchanged from July. Gasoline was the primary driver of monthly inflation, accounting for over one-third of the increase. Energy, shelter and food away from home also posted notable gains. Core CPI, which excludes food and energy, increased 0.3% in August after increasing 0.2% in July.

On Sept. 16, the Federal Open Market Committee (FOMC) announced a 25-basis-point interest rate increase, bringing the target range to 3.75% to 4.00% and marking the first rate hike since 2023. The move was intended to combat inflation and alleviate pressure from supply chain uncertainty and elevated energy prices driven by the ongoing conflict in the Middle East. The committee also issued its updated Summary of Economic Projections (SEP), which indicated that one additional rate hike is expected later this year, likely in either October or December. The SEP generally provides policymakers’ outlook for economic growth, inflation, unemployment and the future path of interest rates over the next few years.

Key Takeaways for August include:

· Consumer spending continued to show strength in August, with debit purchases increasing 6.1% year over year, supported by 3.4% growth in transactions. Purchase growth continued to be driven by the Money Services, Goods and Gasoline sectors. Credit purchases rose 3.6% year over year, with transaction growth of 2.8%. The Gasoline sector returned as the leading contributor to credit purchase growth, followed by Goods and Services.

· For 2026, online gambling debit activity remained steady through July, avoiding the typical summer lull, driven by a surge in year-over-year growth during the six weeks that the FIFA World Cup global soccer competition was held in the U.S.

· Generation Z accounted for nearly two-thirds of the year-to-date prediction market debit transactions and purchases, yet had the lowest average wagers among generational segments. Kalshi represented 88% of all prediction market debit transactions year to date, but had the lowest average purchase amount.

“Online gambling and prediction markets are a small share of overall card activity, but they’re moving into the mainstream faster than many financial institutions expected, particularly among younger consumers,” said Karen Postma, Senior Vice President, Risk Solutions, Velera. “The concentration of prediction market activity among Gen Z, combined with evolving regulation and the potential for market manipulation, creates new considerations for fraud prevention, member education and financial wellness. Credit unions need to understand what’s showing up in member activity so they can identify emerging risks, educate members and make sure their fraud strategies can keep pace as these markets evolve.”

The full report is available for download here or can be shared as a PDF upon request. Please let us know of any questions or additional needs, or if you’d like to coordinate an interview.

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Source: Company press release.

Categories: Reports and research