More consumers opting for PayPal over credit card debt
When it comes to online shopping, more consumers are opting to use payment system PayPal to make purchases rather than take on credit card debt.
According to a new survey from market research firm Cardbeat, while credit cards are still the most popular payment method among consumers who shop online, a growing number say they also use PayPal, which they consider to be more secure.
In all, the report said, 70 percent of respondents say they still use their credit cards to shop online, and 39 percent reported using PayPal, making it the second-most popular option.
The report found that the average PayPal transaction has not increased in price – it has held at around $60 since 2008 – but the total number of purchases the average consumer used it for has nearly doubled. The latest figures saw Americans use the system an average of 21.2 times per year, up from 10.8 two years ago.
In the past, PayPal was primarily associated with payments for eBay auctions, but the company has aggressively expanded its brand and can now be used in lieu of credit card payments at most major online retailers.