For holiday spending, most Americans prefer to charge it
Rewards are the biggest driver behind their choice of credit cards
Data whiz and visual storyteller
Credit cards are still king when it comes to paying for holiday purchases, though their dominance is slipping a bit.
Discover surveyed more than 2,000 U.S. adults about which payment methods they’ll use most this holiday season. About a third (32 percent) indicated credit cards would be their go-to payment method, with debit and prepaid cards in a close second at 29 percent.
Cash ranked third, with almost a quarter (23 percent) saying they would pull out the greenbacks for most of their holiday shopping. That’s up from last year, when only 19 percent cited cash as their preferred payment, while credit card preference is down from 38 percent last year.
Among those who said they’ll use credit cards the most, 42 percent said rewards, points and miles are the biggest driver behind their choice. Other primary reasons were the convenience of credit cards (28 percent), the ability to easily track spending (18 percent) and being able to make purchases when there isn’t enough cash on hand (12 percent).
Discover Financial Services has been conducting its annual holiday shopping survey since 2004. This year’s installment surveyed 2,008 U.S. consumers age 18 and older in late October, with results released Nov. 20.
To use the graphic on your site, use the following code:
- Credit card bills are first to go unpaid, Fed finds – When bills must go unpaid now, credit cards are at the top of the list, a Federal Reserve survey finds. That changed during the recession, when credit card bills were paid because they were viewed as a financial lifeline ...
- Small businesses often rely on credit cards, Fed study finds – Credit cards play a major role in financing small businesses, a new Fed survey finds. More than half of small businesses surveyed (51 percent) reported using credit cards for their operations on a regular basis ...
- Who rolls over card debt and pays late? Study finds surprises – Among cardholders who roll over their debt from month to month, age and other financial obligations -- not income and education -- are factors in who pays on time and who pays late, a new Auriemma Consulting Group study finds ...