Why Don’t Most Merchants Use Price Discounts to Steer Consumer Payment Choice?
The cost of administering pricing that varies by payment instrument may exceed the potential reduction in merchants’ card costs.
Explaining Adoption and Use of Payment Instruments by U.S. Consumers
How might consumers respond if costs of using debit or credit cards were to increase?
What types of merchants are likely to pay more (or less) under the new fee structure, which took effect in October 2011?
Measuring Household Spending and Payment Habits: The Role of “Typical” and “Specific” Time Frames in Survey Questions
An experiment examines the impact of time span--a "typical" day versus a specific date, for example--on payments information reported.
Investment in Customer Recognition and Information Exchange
Consumers are worse off when firms acquire information about their preferences, and information sharing between firms further magnifies their losses.
Potential Effects of an Increase in Debit Card Fees
Analysis using the results of the 2008 and 2009 Survey of Consumer Payment Choice.
Effects of Credit Scores on Consumer Payment Choice
The authors find a significant negative relationship between debit card use and credit score.
How Consumers Pay: Adoption and Use of Payments
The characteristics of payments, including setup, record keeping and security, are important in determining consumer payment behavior.
The paper analyzes the emerging decentralized market in which A2A money transfers are becoming available in the United States and compares it with the A2A market in other countries.
An Economic Analysis of the 2010 Proposed Settlement between the Department of Justice and Credit Card Networks
Merchants are unlikely to be able to take full advantage of the proposed settlement's new freedoms because they currently lack information on the exact discount fees they pay for credit card transactions.
Customer Recognition and Competition
Consumers would benefit from a policy banning information exchange regarding individual consumer preferences. Our welfare analysis shows that the gains to firms from uniform pricing (no recognition) are larger than the associated harm to consumers.
This paper displays robust evidence of significant age- and race-related differences in payments choices.
The 2009 Survey of Consumer Payment Choice
In 2009, the average U.S. consumer held 5.0 of the nine payment instruments available, including cash, and used 3.8 of them during a typical month. Between the 2008 and 2009 surveys, consumers significantly increased their use of cash and close substitutes for cash.
Mobile Payments in the United States: Mapping Out the Road Ahead
This paper depicts the current mobile payments ecosystem in the U.S.; discusses barriers, gaps, and opportunities; and sets forth elements that members of the Mobile Payments Industry Workgroup believe are fundamental to the development of a robust mobile payments environment.
Who Gains and Who Loses from Credit Card Payments? Theory and Calibrations
Merchant fees and reward programs generate an implicit monetary transfer to credit card users from non-card (or cash) users. Because credit card spending and rewards are positively correlated with household income, the payment instrument transfer also induces a regressive transfer from low-income to high-income households.
Mobile Payments in the United States at Retail Point of Sale: Current Market and Future Prospects
the authors analyze the prospects for the U.S. market for mobile payments in retail payments, particularly the use of contactless and near-field communication technologies.
The 2008 Survey of Consumer Payment Choice
The Survey of Consumer Payment Choice is a nationally representative survey that fills a gap in knowledge about the role of consumers in the transformation of payments from paper to electronic.
Topics covered include: consumer demand under network effects, compatibility decisions and standardization, technology advances in network industries, two-sided markets, information networks and intellectual property, and social influence.
The paper investigates the reasons that person-to-person electronic funds transfers are still not very common in the United States compared with practices in many other countries.
Why Are (Some) Consumers (Finally) Writing Fewer Checks? The Role of Payment Characteristics
This paper estimates econometric models of consumers’ adoption use of seven common U.S. payment instruments. Journal of Banking and Finance, 34 No. 8..
Frontier Policy Issues in Consumer Payment Behavior
As a consequence of this transformation from paper payment methods to cards and electronic payments, new and largely unexplored policy issues have surfaced with implications for consumer welfare. Journal of Payments Strategy and Systems, 3 No. 4.
Summary of the Workshop on Consumer Behavior and Payment Choice
Topics are the consumer adoption of new payment technologies, credit card debt management, payment card surcharges, and involuntary bank account closures.
Contactless Wave: A Case Study in Transit Payments
New developments in contactless transit fare payment technology, business models observed globally, and current trends and future directions for implementing contactless ticketing solutions in the United States.
Who in Consumer Payments Research? An Overview of
Industry Payments Research Companies
Types of organizations conducting consumer payments research, the kinds of research services provided, characteristics of surveys, and elements to consider when evaluating data and reports.
Consumer Behavior and Payment Choice: 2006 Conference Summary
Proceedings of the second Consumer Behavior and Payment Choice conference, July 25-27, 2006.
The Boston Fed Study of Consumer Behavior and Payment Choice: A Survey of Federal Reserve System Employees
A survey of payment behavior and attitudes.
Phone: The New Way to Pay?
Disparities in mobile payment technology, barriers to adoption of mobile payments, and considerations for the consumer acceptance and mass adoption of mobile payments technology.
Consumer Behavior and Payment Choice: A Conference Summary
“Consumer Behavior and Payment Choice: How and Why Do Consumers Choose Their Payment Methods?” October 27–28, 2005.