Survey Reveals 20% of Americans Using Credit Cards Less Often
Results from a December consumer survey show that Americans have reacted to upcoming banking reforms by reducing their credit card use and carefully evaluating the cards they carry. The survey, commissioned by First Command Financial Services, revealed that roughly one in five respondents chose to use their credit cards less often in 2009. Meanwhile, 15% of respondents told researchers that they started paying off more of their credit card balances each month and another 13% of respondents said they intended to stop using credit cards altogether.

First Command's researchers also uncovered some potential reasons for the switch away from plastic. 40% of consumers surveyed confirmed that their credit card issuer had increased interest rates during 2009. Roughly one in five respondents reported that their credit card company decreased their credit limits in advance of the enactment of Credit CARD Act regulations in early 2010. Two out of five respondents told researchers that they believed the American recovery was underway, improving slightly from a similar survey in November.

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joe

Joe Taylor Jr. is an internal business consultant for a Fortune 500 company, who writes about finance, culture, and design. He holds a Bachelor of Science in Communications from Ithaca College.