Working Papers, Federal Reserve Bank of Boston 13-13
This paper investigates how buyers allocate their spending among debit, credit, and prepaid cards. Using the 2012 Diary of Consumer Payment Choice, I show that consumers tend to concentrate the majority of their transactions and a large value of their transactions on a single type of card. The paper also investigates whether buyers concentrate their spending on one of the card networks, a behavior known as "single-homing."
payment card use choice of payment cards multi-homing single-homing