Four out of five Americans have at least one credit card, relying on this ubiquitous borrowing tool to pay for gas, food, work-related expenses, and travel. It’s estimated that U.S. consumers carry approximately $1 trillion of debt and the average American household has about $6,000 worth of credit card debt.
With the normalization of credit use for consumers and businesses, credit companies are looking to differentiate their offerings and add value. Here’s a quick glance at what they are instituting in the upcoming year. Read on to learn more.
1. The Rise of Artificial Intelligence
Imagine catching credit card fraud before it wreaks havoc on your business. That’s already happening with new AI technology.
Artificial intelligence is excellent at monitoring buyer behavior, identifying patterns, and immediately flagging outlier purchases. Therefore, when someone tries to purchase something unusually expensive or something in an expected region, AI-enabled credit cards will detect it instantly. AI crunches huge datasets, including customers’ buyer behavior, which helps to cut down on the number of false positives in fraud detection.
2. Cutting Edge, Highly Personalized Security Features
Credit companies, businesses, and customers are aligned in one thing: consumer protection. As a result, many up-and-coming credit card features are laser-focused on providing tighter security. New credit cards will have facial recognition, fingerprinting, and even voice recognition.
These new credit card security features have the potential to facilitate greater user-friendliness, similar to how the phone tap has streamlined payments in recent years.
3. Pointflation
Credit card rewards, specifically points-based incentives, are a major driver for American consumers. They’re more likely to sign up for a credit card if they can get airline miles and hotel stays. Cashback rewards, often a flat-rate return on purchases, are also becoming increasingly popular.
As 2025 ticks on, this trend is expected to continue because consumers have grown to expect something in exchange for borrowing. That being said, credit card companies and consumer watchdogs are starting to raise concerns that more and more points will be needed to cash in on rewards.
4. Internet of Things (IoT) Device Integration
Consumers and businesses want fast, efficient payments. The quickest way to kickstart that in the upcoming year is to integrate credit card processing with IoT devices, such as wearable tech.
Approximately 30 percent of Americans use some form of wearable tech, ranging from Apple watches to Oura rings. They help to track activity, travel, finances, and communication. As the next generation of wearable tech rolls out, watch for it to include the ability to pay for gas, restaurant bills, groceries, and hotel rooms.
Learn How You Can Update Your Business’s Credit Card Processing. Schedule Your Consultation with Financial Fuel Services Today.
The team at Financial Fuel Services specializes in guiding truck stops, gas stations, and oil companies through credit processing and point-of-sale (POS) system updates. We can help your business become EMV-compliant, accept fleet cards, and expand credit card acceptance at diesel islands. To learn more, schedule your consultation with our team today!
