A Few Personal Financial Predictions for 2012 - Other News

Advertising Disclosure

Credit-Land.com is an independent, advertising-supported web site. Credit-Land.com receives compensation from many credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. Credit-Land.com has not reviewed all available credit card offers in the marketplace.

Credit Card Applications » News » Other » A Few Personal Financial Predictions for 2012

A Few Personal Financial Predictions for 2012

Add to Favorites:
A Few Personal Financial Predictions for 2012

There may be some interesting changes in store for consumers regarding the credit card industry come 2012. Prepaid cards are expected to replace credit a debit cards to a large extent in 2012. Throughout 2011, nearly $460 billion was loaded onto prepaid cards. That amount is expected to rise to $685 billion by 2016. Also it is anticipated that consumer credit scores will rise as well and more consumers will have an opportunity to obtain credit.


Americans will likely see a big push towards credit cards and prepaid cards, as lenders attempt to guide them away from using debit cards. This is because of the Federal Reserve cap instated upon debit card interchange fees, limiting the amount they are able to collect from merchants per debit card transaction. This, in turn, caused most banks to entirely eliminate any rewards programs offered that were attached to debit card use. This alone will cause a fair number of consumers to lay off using their debit cards to pay for purchases in favor of pulling out a credit card that will enable them to earn perks for each purchase. In an effort to cultivate increased credit card usage, lenders will offer more attractive cards. Also, prepaid cards will begin to function as substitute checking accounts for many.


More credit should be available overall to a greater portion of consumers. As credit card companies ease up even further on their underwriting standards with the improving economy, more people will find themselves able to obtain an unsecured credit card that may have had a hard time doing so right on the heels of the Great Recession.


Additionally, there is expected to be a rise overall in consumer credit scores. November saw a 32-month low in the country`s unemployment rate and the average jobless rate throughout 2011 is much better than it was in 2010. This means that an increasing amount of Americans have been able to meet their financial obligations, which has been made apparent with the steadily decreasing delinquency rates reported by credit card issuers. That will ultimately lead to a rise is credit scores throughout 2012. As more households pay their credit card debts and other loans on time, they will have more positive entries added onto their credit report leading to a bump in their score. Those increases should be quite evident all during 2012.

Add to Favorites:

Related News:

Amex Partners with Venus Williams at the US Open

Posted: August 23, 2017

American Express will be at the US Open again this year, and they will be rolling out some new experiences for cardholders including games and photo ops, along with access to the Card Member Club and American Express Radio Live. Continue reading
More EMV Enabled Debit Cards, Less Fraud

Posted: August 22, 2017

Last year there was an upswing in the number of chip-enabled debit cards rolled out, according to the 2017 Debit Issuer Study by Pulse, with an estimated 80% of cards in the United States having been outfitted with EMV technology. While ... Continue reading
Fewer Millennials Paying Attention to Finances

Posted: August 21, 2017

In 2015 more than half of Millennials were thinking about how to turn their financial goals into a reality, but in 2016 that number dropped to 37%, according to Navy Federal's 2017 Millennials and Their Money study. They also found that ... Continue reading
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.
Match Mile For Mile: We’ll match all the Miles you’ve earned at the end of your first year. For example, if you earn 30,000 Miles, you get 60,000 Miles.
For Excellent, Good Credit
You could turn $150 into $300 with Cashback Match™. Get a dollar-for-dollar match of all the cash back you’ve earned at the end of your first year, automatically.
For Excellent, Good Credit
No Annual Fee. See WebBank/Fingerhut Credit Account Terms.
For Bad Credit