As wages failed to keep pace with rising prices for essential goods and services in recent years, millions turned to credit cards to manage day-to-day expenses. Initially a temporary lifeline for struggling households, this increased reliance has now created new financial strains in the form of climbing balances, high interest rates, and rising delinquencies.

Households did not turn to credit cards in equal measure, however. Researchers from Upgraded Points analyzed the latest data from the U.S. Census Bureau to explore how the inflation-driven surge in credit card reliance varied regionally, using data from the end of 2023, and how inflation-related stress is affecting adults in each state now.

Key Takeaways

• Debt dependency amid rising costs: In Georgia, 25.4% of adults reported relying on credit cards, loans, or pawnshops to help cover increased costs. While this may provide short-term relief, it also carries high financial risk: climbing balances and slow repayments lead to more interest, especially with recent rate hikes.

• Inflation concerns remain high for Georgia consumers: Survey results from last month show that 93.1% of adults in Georgia report feeling stressed about recent price increases, and 92.7% say they’re concerned about future price increases as well.

For a deep dive into the complete data study, including interactive visuals and all sources, you can check out the original report: https://upgradedpoints.com/news/inflation-related-credit-card-use-by-state/