There is a lot to cover on industry news this past month, but we'll do our best to summarize and cover multiple topics on this post. First, credit card delinquency remained steady this past month. The average delinquency rate of the six major card issuers in the last 12 months was 0.97%, according to Market Intelligence data. Delinquency had been rising in the past couple of months and this may become more of a factor as borrowers will have to start paying back their student loans soon.
Doordash announced that it is making SNAP EBT available for delivery of eligible grocery items as part of numerous updates to its app for consumers, merchants and workers. Multiple grocery and retailer partners, including Albertsons, Safeway, 7-eleven and Aldi will accept SNAP payments through DOORDASH.
FEDNOW is set to launch this month and this could be a major change in the payments industry. Payments players that rely heavily on interchange fees for revenue to suffer a setback, and cause banks to lose interests from investing depositor's funds. Big banks such as JP Morgan Chase, Wells Fargo and US bank have been cited by the FED as early adopters of FEDNOW. The Fed will continue its marketing and education efforts to bring more banks onboard and what seems to be more likely is a soft launch that will ramp up over time.