Mexico City.— The Association of Banks of Mexico (ABM) has reported that the proportion of credit card clients who pay the total of their debts and do not generate interest has significantly increased in recent years. According to the organization, the proportion of totaleros has risen from 31 percent in June 2010 to 58 percent in June 2023.
This growth in total customers is attributed to better user behavior, with more people using their credit cards solely as a means of payment and not as a form of financing. ABM President Julio Carranza commented on the responsible manner in which consumers are using credit cards, stating that it is beneficial for both consumers and the market.
In its Mexico Banking Outlook report for February 2024, BBVA highlighted the positive impact of the growth of the wage bill and general economic activity on private consumption. This has led to an increase in credit to households, particularly through credit cards and payroll loans. The credit card financing segment, which represents 38 percent of the total consumer credit portfolio, saw a real annual growth rate of 14.4 percent in December 2023, the highest in the last 10 years.
The report also noted that the credit card portfolio had 15 consecutive months of double-digit real growth, reaching a peak in September 2023. Despite a gradual decline in dynamism, the average real growth rate for 2023 was 15.5 percent. This positive trend in credit card usage reflects the prudent and responsible financial behavior of consumers in Mexico.