In today’s top digital banking news, U.S. consumers appear to be regaining their appetites for auto loans and rentals, while SWIFT has rolled out a service that allows banks to verify prepayment information from account of a beneficiary. Additionally, the Visa US Spending Momentum (SMI) index recorded a reading of 111.7 in June 2021.
Consumer demand for auto loans and credit cards increased 39% in April
American consumers seem to be regaining their appetites for auto loans and rentals, personal loans and credit cards. Demand for these offers climbed 39% year-over-year in April, and 11% from April 2019, according to a published report that cites data from Equifax. By comparison, consumers overall were not interested in personal loans or credit cards in 2020.
Swift Mitigates Friction at the X Frontier by Enabling FIs to Verify Recipient Information
SWIFT has launched a service that allows banks to verify the prepayment of a recipient’s account data, eliminating a sticking point in international transactions. The Belgium-based entity says the payment pre-validation offering is a critical part of its plan to generate “instant and frictionless transactions” around the world.
Visa: growth in consumer spending slows slightly but remains strong
The Visa US Spending Momentum (SMI) index recorded a reading of 111.7 for June 2021, which signifies a slight decline from the reading of 123.3 for May. “Consumer spending continues to hold up well,” Visa chief economist Wayne Best said in a press release. “Although there remains a lot of inequality between regions, the good reading of the SMI in June again reflects a continued widening of the spending recovery in the regions of the country.”
Square Construction Hardware Wallet for Cryptocurrencies
Square is reportedly at work on a hardware wallet for digital currency and is assembling a collection of engineers to start the process. “Our next step is to build a small cross-functional team,” Jesse Dorogusker, Square’s hardware manager, tweeted in a question-and-answer session. The Q&A was a follow-up tweet from Square CEO Jack Dorsey, who pioneered the concept of a hardware wallet.