Payments News Desk: March 2026 Edition
March payments news: SMB credit cards, BNPL vs installments, payment fraud trends, and e-commerce scams.
Welcome back to Payments News Desk, TRX Services’ monthly blog series highlighting key developments shaping the payments industry. Each month we break down several important news stories and research reports that reflect where payments technology, consumer behavior, and fraud trends are heading.
In the March 2026 edition, we're looking at four stories that reveal how both businesses and consumers are adapting to evolving payment tools — and the growing importance of security in digital commerce. From small businesses using credit cards to manage cash flow, to shifting consumer preferences for installment payments, to the rising sophistication of fraud and online scams, these trends offer a snapshot of the rapidly changing payments landscape.
1. Small Businesses Turn to Credit Cards to Manage Cash Flow
Small and medium-sized businesses (SMBs) are increasingly relying on business credit cards as a practical tool for managing day-to-day cash flow rather than simply chasing rewards points. According to a recent PYMNTS and Mastercard report, operational pressures and uneven revenue cycles often push businesses to use credit cards as flexible financing tools that help cover expenses between receivables and payables.
Instead of prioritizing perks like travel rewards or cashback, many SMBs value credit limits, spending controls, and fast access to working capital. These features help owners handle unexpected costs and smooth out cash flow fluctuations. The shift also reflects a broader trend in B2B payments: businesses are increasingly looking for financial tools that integrate with their operational needs rather than treating payment products as purely transactional.
2. BNPL vs. Card Installments: Consumers Choose Based on Purpose
New PYMNTS Intelligence research highlights how consumers are becoming more strategic about "pay later" options at checkout. Rather than viewing buy now, pay later (BNPL) and credit card installment plans as interchangeable, shoppers are assigning each tool a distinct financial role.
The data shows that credit card installment plans are now used by 31% of consumers, compared with 12% using BNPL, a nearly three-to-one difference. Installment plans tend to be used for structured borrowing and credit management, while BNPL is favored for its speed and ease of approval at the point of sale.
The findings illustrate a maturing pay-later ecosystem where consumers select payment methods based on specific financial goals — whether that’s quick checkout approval, managing credit limits or smoothing out cash flow over time.
3. AI Is Fueling a New Wave of Payment Fraud
A new annual fraud intelligence report highlighted by Mastercard underscores how quickly payment fraud is evolving — particularly with the help of artificial intelligence (AI). Cybercriminals are increasingly using AI tools and automated fraud platforms to scale attacks, compromise payment data, and create convincing online scams.
One example cited in the report is the rise of Magecart-style attacks, where malicious code is inserted into an online retailer’s checkout page to capture payment information in real time. In 2025 alone, more than 10,500 such attacks were active, compromising over 23 million online transactions.
While fraud tactics are becoming more sophisticated, the payments industry is responding with more advanced detection systems, predictive analytics, and integrated cybersecurity strategies designed to identify threats before financial losses occur.
4. Online Shopping Scams Are Now a Common Consumer Experience
As e-commerce continues to grow, so does the prevalence of scams targeting online shoppers. Digital Transactions reported that a recent survey found that 71% of consumers have encountered an e-commerce scam or attempted scam, highlighting how widespread fraudulent activity has become in digital retail environments.
The research also shows that more than half of consumers say they have been successfully scammed at least once while shopping online, and a significant portion experienced fraud within the past year. At the same time, 92% of consumers report concern about the impact of scams on their purchasing decisions, demonstrating how fraud directly affects trust in online commerce.
For merchants and payment providers, the findings reinforce the importance of strong fraud prevention, secure checkout systems, and transparent communication with customers about security protections.
Conclusion
The stories shaping payments in March reflect three major themes: financial flexibility, evolving consumer payment behavior, and heightened security challenges. Small businesses are using credit cards as operational tools for managing cash flow. Consumers are becoming more deliberate in how they choose pay-later options. And as digital commerce expands, fraud prevention is becoming more critical than ever.
For businesses operating in today's payments ecosystem, staying informed about these trends is key to making smarter decisions about payment acceptance, customer experience, and security strategies.
Stay tuned for next month’s edition of Payments News Desk, where we’ll continue tracking the trends and innovations shaping the future of payments.
