Major 4 U.S. Credit Card Q3 GDV Report

Third-quarter U.S. credit card volume, among the Major 4 payment networks (Visa [V], Mastercard [MA], American Express [AXP], and Discover [DFS]), lost momentum, growing 8% year-on-year (YOY), compared to a 10% YOY gain for the year ago quarter. The erosion in spending is further evidence of a slowing economy.

The Major 4 reported $1039 billion in U.S. credit card gross dollar volume (GDV) for the third-quarter (3Q/19), compared to a revised $1028 billion for the prior quarter, and a revised $960 billion for 3Q/18. In the third-quarter of 2015 the Major 4 posted $748 billion in U.S. credit card GDV, according to figures collected by CardData.

Card Volume Third-Quarter Analysis

The Major 4 payment networks posted an 8.2% YOY increase in the third-quarter U.S. credit card GDV, compared to an 8.1% YOY gain in 2Q/18, and a 10.0% YOY increase in 3Q/18. The four-year current CAGR (compound annual growth rate) for the Major 4 credit card GDV is running at 8.56%, compared to 8.64% in the prior quarter, based on analysis by RAM Research.

On an annual or YOY basis, Mastercard led the Major 4 in U.S. credit card GDV, as the only payments network posting a double-digit gain. On a CAGR basis, Visa is the only payments network posting a double-digit increase in U.S. credit card GDV, mainly due to the 2016 Citibank acquisition of American Express Costco accounts. Visa continues to hold sway in the U.S. credit card market with a 52.6% marketshare, down 10 bps (basis points) from 2Q/19, notes Robert McKinley, Senior Analyst of CardFlashCardData and CardTrak.

Third-Quarter Major 4 U.S. Networks

Visa U.S. Credit Card GDV

Visa reported a 6.6% YOY gain with third-quarter U.S. credit card GDV of $547 billion, compared to a revised $542 billion for 2Q/19 and a revised $513 billion for 3Q/18. Visa U.S. credit card GDV grew 10.8% YOY for 3Q/18. In the third-quarter of 2015, Visa posted $359 billion in U.S. credit card GDV. Visa is currently growing at a CAGR of 11.19% for U.S. credit card GDV, driven primarily by the migration of American Express cobranded cards to Citibank and Visa in 2016.

Mastercard U.S. Credit Card GDV

Mastercard reported a 15.0% YOY gain with third-quarter U.S. credit card GDV of $245 billion, compared to a revised $237 billion for 2Q/19 and a revised $213 billion for 3Q/18. Mastercard U.S. credit card GDV grew 7.6% YOY for 3Q/18. In the third-quarter of 2015, Mastercard posted $176 billion in U.S. credit card GDV. Mastercard is currently growing at a CAGR of 8.62% for U.S. credit card GDV.

American Express U.S. Credit Card GDV

American Express reported a 5.6% YOY gain with third-quarter U.S. credit card GDV of $206 billion, compared to a revised $209 billion for 2Q/19 and a revised $195 billion for 3Q/18. American Express U.S. credit card GDV grew 10.8% YOY for 3Q/18. In the third-quarter of 2015, American Express posted $180 billion in U.S. credit card GDV. American Express is currently growing at a CAGR of 3.43% for U.S. credit card GDV, dampened by the migration of American Express cobranded cards to Citibank and Visa in 2016.

Discover U.S. Credit Card GDV

Discover reported a 3.9% YOY gain with third-quarter U.S. credit card GDV of $41 billion, compared to a revised $40 billion for 2Q/19 and a revised $39 billion for 3Q/18. Discover U.S. credit card GDV grew 8.3% YOY for 3Q/18. In the third-quarter of 2015, Discover posted $33 billion in U.S. credit card GDV. Discover is currently growing at a CAGR of 5.58% for U.S. credit card GDV.

Full Q3 Report

Complete Third-Quarter Report on Major 4 U.S. Credit Card Gross Dollar Volume [2015-2019] Available for Immediate Download

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