A post-holiday spending survey by ScoreSense®, a credit monitoring product, revealed that 47% of respondents used credit cards to fund their holiday spending, and one in five respondents intend to pay off their bills with federal tax refunds. Overall, 53% of participants mentioned that 2022 holiday spending "somewhat" or "extremely" added to current debt, and 37% of the respondents are concerned about paying off their holiday bills. The survey findings are included in ScoreSense's "Market Report: Review of 2022 Credit Activity & Post-Holiday Spending Survey."

Key insights from an analysis of 2022 credit:

53% of survey participants said 2022 holiday spending "somewhat" or "extremely" added to current debt.

Delinquencies increased by 24% from 2021 to 2022.
Card Over Limit increased by 19% in 2022 compared to 2021.
New Inquiries dropped by 18% in 2022 compared to 2021.
A consumer survey by ScoreSense, focused on holiday spending and future spending plans, revealed:

47% used credit cards to fund their holiday spending. Respondents between the ages of 25-34 were more likely to use a credit card or Buy Now, Pay Later financing to fund their holiday spending. On the other hand, 41% used cash, the majority of whom are over the age of 54.
1 in 4 consumers will pay off their credit card immediately while 1 in 5 consumers are planning to use their tax refund to help pay their holiday bills.
Overall, 53% of participants mentioned that 2022 holiday spending somewhat or extremely added to current debt. This was very noticeable for those between the ages of 25-44 (60%).
With an increase in debt, 37% of participants are worried or somewhat worried about paying off their holiday bills.
Nearly 56% of participants went slightly or way over budget for their holiday spending in 2022. Those over the age of 54 were more likely to stay within budget compared to other age groups.
44% of participants said they spent more in 2022 than in 2021. Those aged 25-34 (54%) claimed they spent more in 2022 than in 2021 compared to other age groups.
50% of participants mentioned they spent more on food and beverages as well as gifts for family in 2022 than in 2021.
Nearly 30% said they removed vacations and trips from their holiday budgets in 2022.
"In a typical year, we see late payments on credit cards after heavy holiday spending, but this year is different because many consumers have been relying on credit cards to pay for routine household bills and services," said Carlos Medina, senior vice president at One Technologies, LLC., which offers ScoreSense. "Also concerning is that many consumers expect and rely on tax refunds to pay off holiday bills, and refunds for a lot of people this year are projected to be much smaller. As we enter into 2023 filled with economic uncertainty, we strongly recommend consumers focus on paying down debt and saving."