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CompareCards Confidence Index Dips in December

TREE

Consumers less confident in their ability to pay off December credit card balances

PR Newswire

CHARLOTTE, N.C., Dec. 14, 2018 /PRNewswire/ -- CompareCards by LendingTree today released its monthly Credit Card Confidence Index that found Americans' confidence in their ability to pay their monthly credit card statement balances in full dipped slightly in December.

(PRNewsfoto/CompareCards)

The Credit Card Confidence Index is a monthly survey intended to gauge Americans' confidence in their ability to pay their cards' bills in full now and in the future, as well as to track how often cardholders' have paid their bills in full. Each month, CompareCards asks American credit cardholders to rate their confidence in the ability to pay their credit cards' monthly statement balance in full this month and six months from now and how often they've paid those balances in full in the past six months.

This monthly report – which debuted in September 2018 – shows that Americans are clearly confident in their ability to pay their credit card bills, but it also leaves open the possibility that their confidence might have peaked as 2019 approaches.

December Credit Card Confidence Index Key Findings:

  • Cardholders' confidence in paying their monthly credit card statement balances in full this month fell slightly.
    • Sixty-one percent of cardholders said their confidence level was a 4 or a 5, down from 64 percent last month, but still up from September and October.
    • Twenty-six percent of cardholders rated their confidence level a 1 or 2. That's up from 25 percent last month, but down from September and October.
  • Cardholders' confidence in being able to pay the month's credit card statement balances in full six months from now dipped slightly.
    • Sixty-seven percent of cardholders said their confidence level was a 4 or a 5. That's down from 71 percent last month.
    • Eighteen percent of cardholders rated their confidence level a 1 or 2, up from 16 percent last month.
  • Thirty-seven percent of respondents said they paid their monthly card statement balance in full each of the past six months – the highest number since the Index began. However, 20 percent of respondents said they never paid their statement balances in full a single time during that period.
  • When it comes to handling credit cards, the confidence gap between men and women is shrinking, with 51 percent of men and 42 percent of women saying they're very confident in their ability to pay this month's statement balances in full.

"Given holiday spending and the recent Wall Street roller coaster ride, it's not surprising to see a bit of a drop in Americans' confidence in their ability to pay their monthly statement balances," said Matt Schulz, Chief Industry Analyst at CompareCards. "Frankly, the fact that it didn't dip more may be a testament to just how confident Americans still feel about their finances. That seems like a good sign for consumers' credit card confidence in 2019, and Americans may need that strength in the new year. While the economy is certainly strong today, the next few months hold many potential landmines as people wrestle with increasing debt, rising interest rates, an unpredictable political landscape and a volatile stock market. For now, however, there's no question that most Americans will start the new year confident in their ability to pay their credit card bills in 2019."

To view the full report, visit https://www.comparecards.com/blog/credit-card-confidence-index-americans-slightly-less-confident-about-paying-credit-card-bills-in-december/.

About LendingTree
LendingTree (NASDAQ: TREE) is the nation's leading online marketplace that connects consumers with the choices they need to be confident in their financial decisions. LendingTree empowers consumers to shop for financial services the same way they would shop for airline tickets or hotel stays, comparing multiple offers from a nationwide network of over 500 partners in one simple search, and can choose the option that best fits their financial needs. Services include mortgage loans, mortgage refinances, auto loans, personal loans, business loans, student refinances, credit cards and more. Through the My LendingTree platform, consumers receive free credit scores, credit monitoring and recommendations to improve credit health. My LendingTree proactively compares consumers' credit accounts against offers on our network, and notifies consumers when there is an opportunity to save money. In short, LendingTree's purpose is to help simplify financial decisions for life's meaningful moments through choice, education and support. LendingTree, LLC is a subsidiary of LendingTree, Inc. For more information, go to www.lendingtree.com, dial 800-555-TREE, like our Facebook page and/or follow us on Twitter @LendingTree.

About CompareCards:
CompareCards' mission is to help people make smarter, more informed, healthier financial decisions based on deeper knowledge of financial offers. Each month, over 2.9 million visitors come to CompareCards' website to independently compare credit cards side-by-side and choose a credit card based on interest rate, reward benefit, cost savings, and other factors that are important to each person. CompareCards provides easy-to-use, objective tools and educational resources that help people do everything from making credit card comparisons to managing their credit health. For more information, please visit www.comparecards.com.

MEDIA CONTACT:
press@comparecards.com

Cision View original content to download multimedia:http://www.prnewswire.com/news-releases/comparecards-confidence-index-dips-in-december-300765746.html

SOURCE CompareCards



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