According to the “Consumers and Debit in the U.S.: Heightened Security Concerns,” report, high earners and young adults have one thing in common – a lower than average use of debit cards. The report canvased about 3,000 U.S. adults about their debit card use. For households that earn over $100,000, only 52 percent use debit cards and only 56 percent of young adults use debit cards. Both of these are below the national average of 59 percent.
In the wake of the nation’s debit card breaches, consumers have become more concerned about the security of debit cards. Currently, about 42 percent of all consumers are looking into mobile controls for their debit cards. These controls allow customers to suspend debit cards of a specific period of time if they are lost or stolen. This number jumps to 55 percent in the 18-to-34 age range. Security experts believe younger consumers prefer mobile controls because of a greater reliance on mobile devices and online commerce in general. Young adults in particular are used to shopping with their phones and paying with them as well.
The “Consumers and Debit in the U.S.: Heightened Security Concerns,” concludes that credit card issuers who are concerned with the decline in debit card use, should increase mobile-based account controls. The perception of increased security controls could reinvigorate debit card use. Data procured in the study indicates that security concerns are the leading reason why young adults and high earners are not using debit cards. Both groups are so concerned, that they are even willing to pay for more security. The report showed that over half of respondents would be willing to pay for only a few enhanced security features.
Merchants interested in acquiring more customers must have the payment processing equipment to utilize new chip enabled credit and debit cards. In addition, they should investigate mobile payment processing options. EMB is one of the nation’s leading online payment processor. We provide processing solutions for every type of payment. We are your number one high risk credit card processor. If your business has been classified as “high risk,” consider us to manage your merchant account. Contact us now to learn more about our low cost, low hassle, payment processing.