While many Americans were already saddled with record-breaking credit card debt going into the holiday season, analysts predict consumer spending is reaching an all-time high this season, CNBC reports.
The National Retail Federation reported last week that spending between Nov. 1 and Dec. 31 was “clearly on track” to reach a record, between $979.5 billion and $989 billion.
The NRF’s chief economist pointed to job and wage gains coupled with modest inflation as drivers of holiday spending, but other reports suggest that many shoppers are increasingly leaning on credit cards to manage holiday purchases.
Some 36% of consumers have taken on debt this season, a recent report by LendingTree found. And those who dipped into the red racked up an average of $1,181, up from $1,028 in 2023, according to the survey of more than 2,000 adults.
