Eye On Payments 2025

How Consumers are Embracing the Full Payments Spectrum

Members expect seamless integration across physical and digital touchpoints — and credit unions must deliver. 

Consumers Show Cautious Optimism and Need for Choice

The payments industry continues to evolve, with the complex economic environment, tumultuous geopolitical landscape and legislative changes shaping consumer confidence. Spending has shown resilience, but uncertainty is directly influencing member behavior.
 
How consumers pay, along with other financial preferences and behaviors, is shifting in ways that reflect both caution and optimism. Debit and credit remain evenly matched as top-of-wallet choices, with security, rewards and immediacy driving purchasing decisions. Credit cards are the most in-demand lending product, and digital wallets and contactless payments are now mainstream. Buy Now, Pay Later (BNPL) and peer-to-peer (P2P) payments are no longer novelties, but part of everyday life.
 
Additionally, ever-evolving fraud schemes and the rise of artificial intelligence (AI) are reshaping how consumers plan, budget and transact – highlighting the importance of education and real-time protection.

Trends Shaping Payment Preferences

    Credit Cards Lead Lending

    45% of credit union members would be interested in securing a credit card from their financial institution.

    Digital Wallets Mainstream

    63% of consumers keep two or more cards loaded in their digital wallet.

    P2P Is No Longer Novelty

    39% of Gen Z and 38% of Millennials say P2P is a primary payment method.

    Payments through Generations

    • Boomers+ prioritize personal connection and straightforward digital tools.
    • Gen X leads with a debit-first mindset, and security is their top priority.
    • Older Millennials have a rewards-driven mindset, which shapes how they evaluate financial institutions.
    • Younger Millennials need flexible financial tools and are very open to new payment methods.
    • Gen Z is hungry for knowledge and flexibility as they strive for financial independence.

    Survey Methodology