U.S. Bancorp today reported that its payments-services activities, which include consumer and business credit cards, debit cards, stored-value cards, corporate and purchasing card services, consumer lines of credit and merchant processing, contributed $278 million in net income during the second quarter ended June 30, up 10% from $253 million during the same period last year. The bank attributed the increase to higher credit card balances, more accounts and higher transaction volume. U.S. Bank charged off $139 million in credit card loans during the quarter, up 72% from $81 million a year ago. Credit card balances reached $11.56 billion, up 27% from $9.12 billion. Bankwide, net income was $950 million, down 18% from $1.16 billion. Significant contributors to the lower earnings were net securities losses of $63 million and a $596 million provision for future losses from loans of all types, more than double the loss provision of $191 million during the same period last year.