NEW YORK—Usage of the long-popular debit card is declining among U.S. consumers.
A new report from ValuePenguin indicates that debit usage is falling in the U.S., and that new payment forms are partially responsible for the decline.
Since 2013, the percentage of households that use debit cards has dropped from 74% to 58%, in favor of alternative payment methods, such as credit cards and online/mobile banking, ValuePenguin said.
Almost a third more households pay with credit now compared to five years ago, the report shows.
The report indicates that growing credit card rewards are a big reason for the usage shift.