PSCU Payments Index September 2021: Deep Dive on Back-to-School Spending
Summary: In sharing the September 2021 edition of the PSCU Payments Index, we continue to look for certainty in these uncertain times. Over the past month, the Delta variant continued to interrupt the rebound in travel, causing a spike in infections and leading to vaccine mandates. COVID-19 hospitalizations once again increased at an alarming rate and are now affecting more children with the return to in-person learning. This month, we present a Deep Dive into Back-to-School-related merchant categories. We hope that the data from this view of consumer spending, along with insights on demographic-level spending and other economic indicators, continue to help our financial institutions make informed decisions.
*Visit our privacy policy to learn more about how we handle your data.
In sharing the September 2021 edition of the PSCU Payments Index, we continue to look for certainty in these uncertain times. Over the past month, the Delta variant continued to interrupt the rebound in travel, causing a spike in infections and leading to vaccine mandates. COVID-19 hospitalizations once again increased at an alarming rate and are now affecting more children with the return to in-person learning.
This month, we present a Deep Dive into Back-to-School-related merchant categories. We hope that the data from this view of consumer spending, along with insights on demographic-level spending and other economic indicators, continue to help our financial institutions make informed decisions.
Key takeaways include:
- Consumer behavior remained consistent without substantial fluctuations for the third straight month as spending remained strong.
- The sunset of the eviction moratorium and supplemental unemployment assistance (CARES Act), along with the August decline in the Consumer Confidence Index, point to a greater likelihood of financial challenges for a portion of the population in the coming months.
- Back-to-school related purchases (this month’s Deep Dive) saw purchases up 18% for credit and 12% for debit as compared to August 2020, when in-person learning was impeded by the pandemic. For these select merchant categories, credit purchases outpaced debit for both Target (credit up 21%, debit up 11%) and Walmart (credit up 12%, debit up 11%).
Subscribe to our mailing list to receive the PSCU Payments Index delivered directly to your inbox each month.