While credit and debit cards may still be popular among many people in the world, especially the U.S., the use of alternative forms of payments continues to rise. According to Mashable, the credit card changed the way the world spends money, but now after over a half century it's starting to fall out of favor with some consumers, thanks to the Internet. The credit card wasn't designed for all of the online shopping that's going on and people are turning to direct debit and other forms of online electronic payments to purchase goods and services.

Nobody likes to type in their credit card number every time they make a transaction, according to Mashable. In addition to the cumbersome nature of credit cards to online consumers, merchants also don't like them. Credit cards have high processing fees that are hidden to the consumer. These fees make utilizing credit cards online expensive for merchants. The downsides of credit cards and the availability of payment methods like mobile wallets and ACH debts make alternative forms of payment look pretty enticing.

Research doesn't lie – alternative payments are on the rise
According to a Javelin report cited in Mashable, by the end of 2015 sales made through alternative payments are supposed to touch $86.6 billion, and 46 percent of consumers have used an alternative payment form sometime within the last year.

Another report, put out by MarketWatch, showed that in 2014 payment method preferences changed depending on the area of the world that a transaction was made in. For example, in North America and Western Europe, cards still dominated, but alternative payment numbers have increased steadily. In Russia cash upon delivery was used more than credit cards, and in Germany invoices reigned king over other payment methods.

Packaged Facts, a market research firm, reported mobile banking is now mainstream with expected point of sale transactions with mobile devices to grow significantly in 2016 and 2017. Payment choices at both point of sale and online stores will become even more popular as time goes on and merchants realize that consumers want to utilize something other than cards.

While direct debit, cash upon delivery and other local forms of payment are going to be popular in certain parts of the world, Mashable predicts mobile devices hold the key to the future of payments because mobile wallets blur the lines between online and offline purchases.

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