Issue Two: North America
Company case studies: Chase Sapphire Credit Card, Affirm
The US has seen an exciting six months in the first half of 2019. The credit card industry has seen continuous growth for the last 20 quarters, with total US credit card receivables now almost a trillion dollars. While the US banking system seems to have shaken off the effects of the credit crisis of 2008, there are several new challenges that have cropped up by the second quarter of 2019. Since 2013, consumer debt has been rising steadily across all products, but the highest increase has been on student debt and credit cards. The total consumer debt now stands at the same levels as before the crisis of 2008. However, the composition and dynamics of consumer debt have changed across almost all its dimensions. The strong hold of the big tech companies now growing even more with deeper inroads into the customers' minds means that banks now face competition from players outside the ecosystem of the financial services marketplace.