
In a democracy with a decentralized economy, it can be very difficult for economists to determine the exact nature of consumer spending trends. One method that has become increasingly popular is the analysis of data reported by credit card processors. This data can be used to determine consumer spending in various sectors such as food, travel, and fuel. In addition, overall credit card spending can be used as a broad measure of consumer confidence.
For example, The Wall Street Journal reports that credit card use is on the rise as consumer confidence appears to be growing. They cite reports from both American Express and Capital One indicating that balances grew in the 4-5% range over the last year.
What Is Going On
Since the beginning of the recession in 2008, consumers have started to control their credit card debt. This recession in particular was characterized by businesses and consumers taking out too much debt, so it was only natural that many sought protection in more conservative methods of payment such as debit cards, checks, and cash. As time wore on and consumer confidence has begun to recover, shoppers are again feeling more wiling to use their credit cards. This holiday period in particular has been notable for increased consumer spending. Continue Reading »



Those who pay their credit card balances on time and in full each month should be using a rewards credit card. Although many cardholders enjoy their rewards in the form of loyalty points such as frequent flier miles, cash back remains the most popular type of rewards card.
Now that New Year’s resolutions have been made and holiday credit card bills have started to arrive, many consumers will be searching for ways to save money in 2012. Taking advantage of 0% balance transfer credit card offers is one of the easiest and most effective ways to get a handle on credit card debt and prevent interest charges from piling up.



