Credit card balances have become an increasingly important topic for those looking to take control of their finances and improve their credit scores. Consumer spending habits play a major role in how quickly credit card balances can accumulate, and it’s important to be mindful of the impact that each swipe of the card can have. While it can be tempting to keep using credit cards to make purchases and rack up rewards points, it’s essential to keep track of your spending and pay off balances regularly to avoid accumulating high interest fees.
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Data for today’s episode is provided by Javelin Strategy & Research’s Report:The Credit Card Data Book Part Two: Internal Dynamics
Credit Card Balances Past Five Years (in $trillions)
- Q3 2018 – $0.84
- Q3 2019 – $0.88
- Q3 2020 – $0.81
- Q3 2021 – $0.80
- Q3 2022 – $0.93
This report is the second part of a two-part annual series called the Credit Card Databook. The report explores profitability, credit risk, and portfolio dynamics to understand the market for issuers and the challenges they may face in 2023. The goal is to provide recommendations to help financial organizations strategize for the current and upcoming credit card market in the United States. Unfavorable economic conditions loom, and issuers must prepare themselves to weather the storm.