With 1 in 4 Users Using Them To Avoid
Debt
LONDON, May 16, 2024 /PRNewswire/ -- Despite Britain
exiting the recession, Brits are increasingly adopting prepaid
cards to manage the ongoing cost of living crisis and avoid debt. A
survey by Opinium, commissioned by leading online prepaid
payment firm Recharge, shows that 1 in 5 Brits (11.4 million)
use prepaid cards, marking a 118% increase since the crisis
began.
34% of users (3.9 million) leverage prepaid cards to control
finances, while 26% (3 million) use them to avoid debt. Over half
(56%) of users are 18 to 34. The survey also highlights that men
are 53% more likely to use prepaid cards than women (26% vs.
17%).
Key Trends:
- Budget Control: Over 21% of Brits (11.4 million) now use
prepaid cards, up 118% since the crisis.
- Debt Dodging: 26% of users (3 million) aim to avoid debt.
- Financial Planning: 34% of users (3.9 million) use cards to
stay in control of finances.
Demographics and Fraud Prevention:
- Men and Londoners Lead: Men are 53% more likely than women to
use prepaid cards; 61% of Londoners use them, significantly higher
than other regions.
- Younger Users and Fraud Protection: Under 35s are 75% more
likely than 35-54 year olds to use cards for financial protection.
Men are 55% more likely than women to protect against fraud.
Günther Vogelpoel, CEO of Recharge, said, "The cost of living
crisis has fundamentally altered spending habits, driving many
Brits to seek alternative ways to ensure they are in control of
their finances. Prepaid payment products are just one of the ways
they are doing this. Our research highlights the importance of
financial security and control in today's uncertain times. Recharge
is all about putting the consumer in charge and providing them with
the options to spend their way whilst continuing to meet their
evolving needs."
This research, conducted by Opinium for Recharge, surveyed 2,000
UK adults. For more details, contact press@recharge.com.
About Recharge:
Recharge, a B2C prepaid payments platform, offers over 16,000
digital vouchers and products, including e-gifts, gaming cards, and
mobile top-ups. Operating in 180+ markets from Amsterdam, Recharge has raised over
$70 million from investors like Prime
Ventures and SmartFin. Visit company.recharge.com for
more.
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