One place where the culture of credit remains strong

A summary in today's Research Brief points out that credit card use is still quite healthy when it comes to online purchasing. The article adds that more than half of consumers are using an online-only payment instrument (such as PayPal), and that debit card use is up among online buyers (presumably because some folks have had a hard time getting credit cards in the recession's tighter economic environment, or have their credit cards maxed-out, or simply have a new aversion to the use of credit).

Implications: When I make an online purchase, I consider the use of a credit card more "utilitarian" than extravagant; the plastic simply facilitates the purchase, and I'll pay the amount off as soon as the bill comes. I don't look at the practice as a means of delaying the purchase.

Perhaps that utilitarian approach says something about the way credit card use might regain some popularity in the offline world, as well.

Mike Anderson