{"id":517230,"date":"2021-07-26T04:03:08","date_gmt":"2021-07-26T08:03:08","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/fico-uk-credit-market-report-may-2021-markedly-lower-year-on-year-increase-in-credit-card-spend-suggests-consumers-are-adjusting-to-new-normal\/"},"modified":"2021-07-26T04:03:08","modified_gmt":"2021-07-26T08:03:08","slug":"fico-uk-credit-market-report-may-2021-markedly-lower-year-on-year-increase-in-credit-card-spend-suggests-consumers-are-adjusting-to-new-normal","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/fico-uk-credit-market-report-may-2021-markedly-lower-year-on-year-increase-in-credit-card-spend-suggests-consumers-are-adjusting-to-new-normal\/","title":{"rendered":"FICO UK Credit Market Report May 2021: Markedly Lower Year-On-Year Increase in Credit Card Spend Suggests Consumers Are Adjusting to &#8216;New Normal&#8217;"},"content":{"rendered":"<div class=\"xn-newslines\">\n<p class=\"xn-distributor\">PR Newswire<\/p>\n<\/p><\/div>\n<div class=\"xn-content\">\n<p>\n        <span class=\"xn-location\">LONDON<\/span>, <span class=\"xn-chron\">July 26, 2021<\/span> \/PRNewswire\/ &#8212; Global analytics software provider FICO today released its analysis of UK card trends for <span class=\"xn-chron\">May 2021<\/span>, which suggests that some consumers are practicing pragmatic financial management, as well as continuing to make use of savings accrued during the pandemic. There are, however, warning signs of the financial pressure growing for those already in debt.<\/p>\n<div class=\"PRN_ImbeddedAssetReference\" id=\"DivAssetPlaceHolder1\">\n<p>\n          <a href=\"https:\/\/mma.prnewswire.com\/media\/450763\/FICO_Logo.html\" target=\"_blank\" rel=\"nofollow noopener\"><br \/>\n            <img decoding=\"async\" src=\"https:\/\/mma.prnewswire.com\/media\/450763\/FICO_Logo.jpg\" title=\"FICO Corporate logo.  (PRNewsFoto\/FICO)\" alt=\"FICO Corporate logo.  (PRNewsFoto\/FICO)\" \/><br \/>\n          <\/a>\n        <\/p>\n<\/p><\/div>\n<p>Whilst the effects of a full month of retail and hospitality re-openings were reflected in a further rise in card spend, the increase was just 4 percent compared to the 12 percent increase seen in April. This suggests that consumers foresee future pressure on income with the prospect of furlough support and payment holidays ending. <\/p>\n<p>The percentage of payments to balance continued to increase \u2014 by 10 percent month on month. However, an 8 percent year-on-year increase in the average balance for accounts with three missed payments and a growth in the use of cash on cards \u2013 6 percent \u2013 will ring warning bells for lenders.<\/p>\n<p>The average spend on UK credit cards increased for the third consecutive month, by \u00a326 to \u00a3651 in <span class=\"xn-chron\">May 2021<\/span>. However, the monthly increase may not be as high as some might have been expecting for the first full month of the easing of lockdown restrictions, especially compared to the growth seen in April. <\/p>\n<p>Some consumers receiving furlough payments may be showing caution relating to their spending levels, ahead of the planned scaling down of the government contribution as of 1<sup>st<\/sup> July. This caution could also be the reason that the percentage of payments to balance continued to increase \u2014 by 10 percent month on month to 36 percent, the highest ratio over the last two years. <\/p>\n<p>Accounts missing one payment are \u00a325 lower than a year ago. For accounts missing two payments, the average balances are \u00a339 or 2 percent lower year on year, however, this was the peak month during the early stages of the pandemic, so this is not surprising.\u00a0 Average balances on accounts with three missed payments are \u00a3221 higher (8 percent) and four missed payments plus are \u00a3228 higher (8 percent).<\/p>\n<p>These card performance figures are part of the data shared with subscribers of the FICO\u00ae Benchmark Reporting Service.<\/p>\n<p>\n        <b>About FICO<br \/><\/b>FICO (NYSE: FICO) powers decisions that help people and businesses around the world prosper. Founded in 1956 and based in Silicon Valley, the company is a pioneer in the use of predictive analytics and data science to improve operational decisions. <\/p>\n<p>Learn more at <a target=\"_blank\" href=\"https:\/\/c212.net\/c\/link\/?t=0&amp;l=en&amp;o=3237883-1&amp;h=751898580&amp;u=https%3A%2F%2Fwww.fico.com%2F&amp;a=https%3A%2F%2Fwww.fico.com\" rel=\"nofollow noopener\">https:\/\/www.fico.com<\/a><\/p>\n<p>FICO and TRIAD are\u00a0registered trademarks of Fair Isaac Corporation in the U.S. and other countries.<\/p>\n<div class=\"PRN_ImbeddedAssetReference\" id=\"DivAssetPlaceHolder2\"><\/div>\n<p id=\"PURL\">\n        <img loading=\"lazy\" decoding=\"async\" title=\"Cision\" width=\"12\" height=\"12\" alt=\"Cision\" src=\"https:\/\/c212.net\/c\/img\/favicon.png?sn=AQ53199&amp;sd=2021-07-26\" \/> View original content to download multimedia:<a id=\"PRNURL\" rel=\"nofollow\" href=\"https:\/\/www.prnewswire.com\/news-releases\/fico-uk-credit-market-report-may-2021-markedly-lower-year-on-year-increase-in-credit-card-spend-suggests-consumers-are-adjusting-to-new-normal-301340449.html\">https:\/\/www.prnewswire.com\/news-releases\/fico-uk-credit-market-report-may-2021-markedly-lower-year-on-year-increase-in-credit-card-spend-suggests-consumers-are-adjusting-to-new-normal-301340449.html<\/a><\/p>\n<p>SOURCE  FICO<\/p>\n<\/p><\/div>\n<p>    <img decoding=\"async\" alt=\"\" src=\"https:\/\/rt.prnewswire.com\/rt.gif?NewsItemId=AQ53199&amp;Transmission_Id=202107260400PR_NEWS_USPR_____AQ53199&amp;DateId=20210726\" style=\"border:0px;width:1px;height:1px\" \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>PR Newswire LONDON, July 26, 2021 \/PRNewswire\/ &#8212; Global analytics software provider FICO today released its analysis of UK card trends for May 2021, which suggests that some consumers are practicing pragmatic financial management, as well as continuing to make use of savings accrued during the pandemic. There are, however, warning signs of the financial pressure growing for those already in debt. Whilst the effects of a full month of retail and hospitality re-openings were reflected in a further rise in card spend, the increase was just 4 percent compared to the 12 percent increase seen in April. This suggests that consumers foresee future pressure on income with the prospect of furlough support and payment holidays ending. The percentage of &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/www.marketnewsdesk.com\/index.php\/fico-uk-credit-market-report-may-2021-markedly-lower-year-on-year-increase-in-credit-card-spend-suggests-consumers-are-adjusting-to-new-normal\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;FICO UK Credit Market Report May 2021: Markedly Lower Year-On-Year Increase in Credit Card Spend Suggests Consumers Are Adjusting to &#8216;New Normal&#8217;&#8221;<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-517230","post","type-post","status-publish","format-standard","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>FICO UK Credit Market Report May 2021: Markedly Lower Year-On-Year Increase in Credit Card Spend Suggests Consumers Are Adjusting to &#039;New Normal&#039; - Market Newsdesk<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.marketnewsdesk.com\/index.php\/fico-uk-credit-market-report-may-2021-markedly-lower-year-on-year-increase-in-credit-card-spend-suggests-consumers-are-adjusting-to-new-normal\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"FICO UK Credit Market Report May 2021: Markedly Lower Year-On-Year Increase in Credit Card Spend Suggests Consumers Are Adjusting to &#039;New Normal&#039; - Market Newsdesk\" \/>\n<meta property=\"og:description\" content=\"PR Newswire LONDON, July 26, 2021 \/PRNewswire\/ &#8212; Global analytics software provider FICO today released its analysis of UK card trends for May 2021, which suggests that some consumers are practicing pragmatic financial management, as well as continuing to make use of savings accrued during the pandemic. There are, however, warning signs of the financial pressure growing for those already in debt. Whilst the effects of a full month of retail and hospitality re-openings were reflected in a further rise in card spend, the increase was just 4 percent compared to the 12 percent increase seen in April. This suggests that consumers foresee future pressure on income with the prospect of furlough support and payment holidays ending. 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Market Newsdesk","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.marketnewsdesk.com\/index.php\/fico-uk-credit-market-report-may-2021-markedly-lower-year-on-year-increase-in-credit-card-spend-suggests-consumers-are-adjusting-to-new-normal\/","og_locale":"en_US","og_type":"article","og_title":"FICO UK Credit Market Report May 2021: Markedly Lower Year-On-Year Increase in Credit Card Spend Suggests Consumers Are Adjusting to 'New Normal' - Market Newsdesk","og_description":"PR Newswire LONDON, July 26, 2021 \/PRNewswire\/ &#8212; Global analytics software provider FICO today released its analysis of UK card trends for May 2021, which suggests that some consumers are practicing pragmatic financial management, as well as continuing to make use of savings accrued during the pandemic. There are, however, warning signs of the financial pressure growing for those already in debt. Whilst the effects of a full month of retail and hospitality re-openings were reflected in a further rise in card spend, the increase was just 4 percent compared to the 12 percent increase seen in April. This suggests that consumers foresee future pressure on income with the prospect of furlough support and payment holidays ending. The percentage of &hellip; Continue reading \"FICO UK Credit Market Report May 2021: Markedly Lower Year-On-Year Increase in Credit Card Spend Suggests Consumers Are Adjusting to &#8216;New Normal&#8217;\"","og_url":"https:\/\/www.marketnewsdesk.com\/index.php\/fico-uk-credit-market-report-may-2021-markedly-lower-year-on-year-increase-in-credit-card-spend-suggests-consumers-are-adjusting-to-new-normal\/","og_site_name":"Market Newsdesk","article_published_time":"2021-07-26T08:03:08+00:00","og_image":[{"url":"https:\/\/mma.prnewswire.com\/media\/450763\/FICO_Logo.jpg","type":"","width":"","height":""}],"author":"Newsdesk","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Newsdesk","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.marketnewsdesk.com\/index.php\/fico-uk-credit-market-report-may-2021-markedly-lower-year-on-year-increase-in-credit-card-spend-suggests-consumers-are-adjusting-to-new-normal\/#article","isPartOf":{"@id":"https:\/\/www.marketnewsdesk.com\/index.php\/fico-uk-credit-market-report-may-2021-markedly-lower-year-on-year-increase-in-credit-card-spend-suggests-consumers-are-adjusting-to-new-normal\/"},"author":{"name":"Newsdesk","@id":"https:\/\/www.marketnewsdesk.com\/#\/schema\/person\/482f27a394d4fda80ecb5499e519d979"},"headline":"FICO UK Credit Market Report May 2021: Markedly Lower Year-On-Year Increase in Credit Card Spend Suggests Consumers Are Adjusting to &#8216;New Normal&#8217;","datePublished":"2021-07-26T08:03:08+00:00","mainEntityOfPage":{"@id":"https:\/\/www.marketnewsdesk.com\/index.php\/fico-uk-credit-market-report-may-2021-markedly-lower-year-on-year-increase-in-credit-card-spend-suggests-consumers-are-adjusting-to-new-normal\/"},"wordCount":451,"image":{"@id":"https:\/\/www.marketnewsdesk.com\/index.php\/fico-uk-credit-market-report-may-2021-markedly-lower-year-on-year-increase-in-credit-card-spend-suggests-consumers-are-adjusting-to-new-normal\/#primaryimage"},"thumbnailUrl":"https:\/\/mma.prnewswire.com\/media\/450763\/FICO_Logo.jpg","inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/www.marketnewsdesk.com\/index.php\/fico-uk-credit-market-report-may-2021-markedly-lower-year-on-year-increase-in-credit-card-spend-suggests-consumers-are-adjusting-to-new-normal\/","url":"https:\/\/www.marketnewsdesk.com\/index.php\/fico-uk-credit-market-report-may-2021-markedly-lower-year-on-year-increase-in-credit-card-spend-suggests-consumers-are-adjusting-to-new-normal\/","name":"FICO UK Credit Market Report May 2021: Markedly Lower Year-On-Year Increase in Credit Card Spend Suggests Consumers Are Adjusting to 'New Normal' - 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