We also noticed that of those 12% that took their bank’s card, 42% had $5000 or more in credit card debt, and 26% had more than $10,000 worth of debt.
Sydney, Australia (PRWEB) February 17, 2014
Exactly why do people choose the credit cards they have in their wallet? According to a new survey by credit card comparison site creditcard.com.au, most cardholders choose their particular credit card so they can shop online.
After analysing the responses of more than 2,100 people across Australia, the creditcard.com.au Australian Credit Card Industry Survey 2013 found that 18% of respondents chose their credit card to allow them to shop online, while 17% had their card simply for the convenience of having a credit card.
Other popular reasons for having a credit card included earning rewards (12%), paying down debt with a balance transfer (11%), paying for an overseas holiday (7%), and buying an expensive item (6%). Ten per cent reported keeping their credit cards for emergencies only.
creditcard.com.au founder and chief executive Roland Bleyer pointed to another interesting statistic the survey revealed – that 12% of cardholders chose their credit card solely on the basis that their bank had offered it to them.
“We commissioned the survey because we wanted to get real insight into Australian spending and debt,” Bleyer said. “One thing we did notice is how many cardholders took their card just because their provider offered it to them. We wonder whether they even compared their options at all.”
“We also noticed that of those 12% that took their bank’s card, 42% had $5000 or more in credit card debt, and 26% had more than $10,000 worth of debt.”
On the topic of credit card usage in everyday life, unsurprisingly, the survey showed that most cardholders used their card to shop online (16%). Paying the bills was popular as well (14%), while 13% of cardholders used their card to pay for groceries, and 11% to pay for travel and holidays.
While the survey showed that online shopping is becoming increasingly popular in Australia, it also looked at the growing influence of technology on payments and banking.
“We found that a large number of people were willing to adopt new payments technology, such as using their phone to pay for things and leaving their cards at home,” said Bleyer. “We also found that more men than women were willing to take on this new technology – 46% of men vs. 34% of women.”
The generations were divided on the issue of using smartphones instead of credit cards, with more than half of those aged 18-25 saying they would use their phones for purchases, compared to just over 20% of those aged 45 or older.
The survey showed that the younger generations were also much more likely to use banking apps, with 69% of 18-34 year olds using a banking app, compared to 45% of those aged 35-44, 22% aged 45-54, and 16% of those over 55.
As for the desire to share purchases on social networks, it seems age is not a factor. Around 80% in each age group said they would not share purchases socially, even if it allowed them to earn special offers and rewards.
A subsidiary of Credit World Pty Ltd., creditcard.com.au is an Australian credit card comparison site based in Sydney. It provides consumers with comprehensive and unbiased credit card reviews, and all the details required to empower visitors to make better-informed financial decisions.
For more information contact:
Roland Bleyer - +61 2 9518 8177
To find out more about the creditcard.com.au Australian Credit Card Industry Survey 2013, please visit http://www.creditcard.com.au/australian-credit-card-industry-survey-2013/.