According to the reports the growth in the credit card spending is increasing unexpectedly. Banks have reported that the loans for the banking sector are increasing at a slower rate than expected where as the credit card spending seems peculiar this time.
Experts of the bank, stated that the credit card spending is increasing by the 30% annually. At Axis Bank, the credit card spends have been growing at 80 per cent on a year-on-year basis. Further they have also reported that the number of credit cards is not increasing but the spending of the credit cards is increasing rapidly. The rise in online transactions across sectors has encouraged more people to come online and transact. People using he online banking facilities and use of the credit cards for making online payments are increasing tremendously.
An executive with a public sector bank says it is not only the credit card spending but even the credit limits for consumers which have been going up.