Holiday, hot weather cause credit-card spending to rise in Q2

SEOUL-- Credit-card spending by individuals rose 11.2 percent on-year in the second quarter, as a long holiday and hot weather boosted demand for air conditioners and other consumer goods, industry data showed Friday.

According to the data by the Credit Finance Association, credit-card spending by individuals stood at 150 trillion won (US$133.3 billion) for the April-June period, the highest quarterly spending tallied so far.

The use of credit cards increased in part to people taking trips that require paying for accommodations and food, the data showed. Its travel-related spending was high in May and June.

Sales of air conditioners and air purifiers increased due to hot weather and smog, it said.

Total credit-card spending, which includes spending by corporate users, climbed 4 percent on-year to 186.5 trillion won for the quarter.

Credit-card spending by corporate users, however, fell 18.1 percent on-year to 35.6 trillion won for the three-month period.

The decline came as credit-card firms reduced hefty promotions for corporate users, the association said.

Source: Yonhap News Agency

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