CHICAGO—A new study shows that despite the growing number of data breaches impacting Americans, consumers this holiday shopping season do not plan to hold back on using their credit cards.
Nearly eight-in-ten American credit card holders (82%) plan to spend at least as much or more on holiday gifts this season compared to last year and nearly as many (80%) plan to do that spending on credit cards, according to a new survey released by TransUnion.
A majority of consumers (60%), too, have little or no concern about how their holiday spending will affect their credit.
"Our survey found that shoppers are not connecting their heavy reliance on credit cards during the holidays to potential impact on their credit worthiness," said Ken Chaplin, senior vice president at TransUnion, in a release.
Bill Hardekopf, CEO of LowCards.com in Birmingham, Ala., said the study indicates “some shoppers are planning to use credit cards as a crutch for holiday shopping sprees this year—59% reported they do not have a budget set for their holiday gifts and 35% still have not begun saving for the holidays.”
Hardekopf added that consumers would be wise to make a budget and a shopping list, starting with was spent last year and then keep a record of all gift purchases and holiday expenses. “It is hard for shoppers to make a budget and easy to underestimate their spending.”
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