From Pymnts · PYMNTS · · 1m 50s
Credit union cards win the bills, lose the fun
A survey of 14,218 consumers and 3,529 SMBs shows exactly which purchases credit union cards capture and which ones they never see.
In brief
A survey of 14,218 consumers and 3,529 SMBs shows exactly which purchases credit union cards capture and which ones they never see. Credit union cards already own the recurring bills. The growth is in discretionary consumer spend and routine business operating costs, and both need a rewards and tools answer…
Trusted, but not reached for
Members like their credit union. That does not mean the credit union card comes out of the wallet first, and a July 2026 PYMNTS Intelligence report with Velera set out to find where it does.
“Consumers Trust Credit Unions but Don't Always Reach for Their Cards”
The bills belong to them
Credit union cards beat national bank cards on recurring essentials. Rent or mortgage is the widest gap: 23% of credit union cardholders versus 16% of national bank cardholders.
Utilities, phone, groceries too
The edge holds across the boring stuff. Utilities 37% to 34%, mobile and home internet 35% to 33%, groceries 58% to 57%, basic healthcare 18% to 16%.
Travel is the big miss
Flip to discretionary and the pattern reverses. Credit union cardholders are 45% less likely to book travel on their card, 11% versus 20%, with electronics, retail, subscriptions and restaurants all trailing too.
Small builders pick them
On the business side, credit union SMB cards lead in construction and contracting, 20% to 16%, and renovation, 11% to 9%. The edge is widest at firms under $250,000 in revenue and in rural and small-town markets.
But not the daily operating spend
National banks take the high-volume categories: inventory and basic operating costs both 54% to 49%, marketing 41% to 34%, non-inventory purchases 39% to 35%.
“Winning specialized expenses does not necessarily translate into capturing the purchases businesses make routinely to operate.”
What would change their minds
Consumers who have not gone all in want rewards: 44% cite incentives, against 32% of those already top of wallet. SMBs want lower rates and fees (41%), real credit limits, cash back and budgeting tools.
The headline
Credit union cards already own the recurring bills. The growth is in discretionary consumer spend and routine business operating costs, and both need a rewards and tools answer.
