Gen Z Money Habits — Credit Card VS. Mobile Banking

According to a recent survey conducted by MX, research shows that less than half of Gen Z consumers have a credit card — compared to 61% of Millennials, 65% of Gen X, and 81% of Baby Boomers. Even among Gen Z consumers that do use a credit card, 53% pay off the total balance every month. 

This attitude towards credit cards seems to extend towards shopping online and in stores, with cash and debit payments preferred at physical stores and debit cards used 2:1 over credit cards for online payments.

In-Person Payment Preference

Online Payment Preference

With these indicators, what does that look like for the future of payments? With close to 7.3 trillion dollars driven worldwide by mobile commerce in 2020, mobile wallets are no longer optional for institutions looking to appeal to Gen Z money habits. MX’s research supports this — 78% of Gen Z consumers saying they have connected money-related apps to their financial accounts. To read the full report, check out Consumer Money Matters: Debt on the Rise, Savings on the Decline.