Personal Finance & Credit Card Statistics for 2022: A Look Inside the Piggy Bank

Americans’ can have a strained relationship with their personal finances. Individuals have different philosophies on how — and where — their money is allocated. Perhaps you’re a saver and not a spender, or maybe you fall victim to those 2 a.m. infomercials with the credit card bills to back it up. Either way, we wanted to take an in-depth look at Americans’ personal finances and credit card spending habits by analyzing how much money they have in their savings account, how often they miss a credit card payment, and what their top savings priorities are in the coming years. 

Perhaps you need to deliver pizza on weeknights to pay off credit card debt, or maybe you’re planning on retiring early to enjoy your heyday in paradise. No matter which boat you’re in, keep reading to get the lowdown on America’s financial worries, debt sources, and much more!

How Many Credit Cards Does the Average American Have?

In recent years, the push for financial literacy courses to be taught in schools across America has increased, as many don’t know the first thing when it comes to credit cards. The case can be made that many Americans learn the ins and outs of credit cards firsthand, which could be one reason why only half of those surveyed own between 1 to 2 credit cards. 

Credit card spending can have unique incentives like cash-back rewards and reward points that can be put toward premium airfare, wine tastings, hotel stays, and other unique experiences. Some credit card companies, such as Chase, offer perks that include access to preferred seating when purchasing tickets, discounts, and more — sign us up! 

Americans may feel like they need to know a secret code to access their credit card rewards, as 1 in 4 Americans don’t take advantage of freebies and other perks. Of those that do, 40% say cash-back rewards are the benefit they use most often. Check out the rest of the credit card statistics from our survey results below!

How Much is the Average American Saving?

Nearly half of all Americans are falling deeper into debt to compensate for skyrocketing inflation, impacting gas, grocery, and rent prices. Inflation and debt affect Americans’ personal finances as 21% of those surveyed said they aren’t currently saving due to inflation alone. 

So, how much does the average American have in savings? Nearly one-third of Americans have less than $500 in their savings account, which is a harsh reality for those looking to build up their emergency fund or pay for college tuition. While some Americans (47%) cite credit card spending as the reason why they are deep in debt, others have student loans (23%) and medical bills (22%) to thank. 

With 35 to 44 years olds reporting the largest share of debt at over $10,000, it begs the ultimate question — should one indulge in that $5 latte or risk being shamed by financial gurus urging consumers to brew at home? Keep reading to get a temperature of the average debt by age and their top savings priorities.

Interactive Calculator: How Far Can My Debt Go?

Those who are deep in debt due to student loans can now breathe a sigh of relief, as the Biden Administration has canceled $10,000 worth of student loans for borrowers (and $20,000 for Pell Grant borrowers) with stiupations. Perhaps you’ve set aside a nice chunk of your paycheck to go toward student loans and now you’re curious about what purchases you can make with that money. We developed an interactive calculator to help give you some perspective on the items you can buy with the money you owe to the lender. 

Simply input the amount of debt you’re currently in and select a purchase, choosing between everyday wants and needs like coffee and gas to bigger purchases like large couches, iPhones, and down payments on cars and houses. Once you hit calculate you’ll be able to see just how far your debt could go.

What Could You Buy With Your Debt?

Amount of Debt ($) Select Purchase Purchase Type House down payment Year of college tuition New car down payment Wedding 2-week trip to Europe iPhone 14 New couch Flat-screen TV New pair of shoes Car insurance payment Month of streaming Month of internet Month of utilities Gym membership Private doctor visit Grocery store run Gallon of gas Cup of coffee Cocktail Beer Calculate

Methodology

To paint a picture of what personal finance looks like today, we surveyed 1,000 Americans from varying demographic and socioeconomic groups on their credit card usage, saving/budgeting habits, and which purchases they need to put on hold due to their debt. The survey was conducted over a week in September 2022.

We created an interactive calculator to encapsulate the growing concern of debt in America and the purchases you can make with your debt. From small splurges like a cocktail to indulgent expenses like a 2-week trip to Europe, our calculator tells you how many of these items you could buy with your debt. The cost data used was sourced from cost-of-living websites, like Expatistan, and topic-specific websites for the different items. A full list of sources can be found below:

Final Thoughts

We hope this look behind the curtain has helped you to gauge where your fellow Americans are at financially. While it may seem like everyone you know is buying a home, going on vacation, or splurging on a new car, it’s clear that this is simply not the case for every person! Credit card spending, debt sources, and the measures Americans take to pay off their debt (like getting a second job) can all be huge causes of concern. For some, the American dream might involve a white picket fence, and for others, it’s financial security with zero debt!