Visa Sees A Pickup In Consumer Spending In May

Chase Visa Tap to Pay

Source: JP Morgan Chase

Visa's total U.S. payments volume fell at a much slower pace in May from the previous month, indicating that consumer spending was picking up as the government starts to ease coronavirus-induced lockdowns.

U.S. payments volume in May dropped to 5%, compared with an 18% fall in April. Quarter-to-date, Visa posted an 11% drop in payments volume, the company said in a filing on Monday.

Cross-border volumes, excluding intra-Europe transactions, that drive its international transaction revenue, tumbled 45% in May, while global processed transactions fell 12%,

Visa said in aggregate, recovery in international markets in which it processes the majority of transactions lagged the U.S. in May.

Travel related cross-border volumes declined 78% last month while cross-border e-commerce continued to grow strongly and was up 18% in May, the company added.

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