Credit Sesame’s personal finance news roundup March 15, 2025. Stories, news, politics, and events impacting personal finance during the past week.
2024 credit card debt and spending surge
A Nilson Report on 2024 credit card volume found that total spending on Visa, Mastercard, American Express, and Discover reached $6.1 trillion, a 5.3% increase over 2023. Outstanding balances climbed to $1.3 trillion, up 7.9% year-over-year. JP Morgan Chase was the top issuer for the sixth consecutive year, processing over $1.3 trillion in transactions. The five largest issuers accounted for 69.1% of total credit card purchase volume in 2025. See article at Yahoo.com.
Consumer debt growth slows in February 2025
Non-mortgage consumer debt grew at an annualized 4.3% rate in February, down from 8.7% in January. Revolving debt, primarily credit card balances, rose at an 8.2% pace, outpacing nonrevolving debt, which includes installment loans, and grew at 3.0%. Revolving debt typically carries higher interest rates, making this trend significant for borrowers. See consumer credit statistics at FederalReserve.gov.
Government delays new tariffs on Mexico and Canada
The Trump administration postponed its planned 25% tariffs on most goods from Mexico and Canada, reversing an earlier decision. This latest delay continues a pattern of shifting trade policies that have contributed to global market volatility. See article at Reuters.com.
Consumer confidence declines amid economic concerns
A recent survey found growing pessimism among consumers, with expectations for household finances and the stock market hitting their lowest levels since 2023. The percentage of consumers expecting higher unemployment rose 5.4 points, while those anticipating tougher credit access jumped from 35.6% to 46.7%. More than one in seven now expect to miss a minimum debt payment within three months, the highest level since April 2020. See survey report at NewYorkFed.org.
Job openings hold steady, but risks loom
The number of job openings remained at 7.7 million in January, though this is 728,000 lower than a year ago. The ratio of unemployed persons per job opening stayed at 0.9, a middle ground after past extremes. However, these figures predate recent government layoffs, and future reports will reveal their full impact on the labor market. See JOLTS report at BLS.gov.
Inflation slowed in February 2024 but risks remain
The Consumer Price Index (CPI) rose 0.2% in February, down from a 0.5% increase in January. Annual inflation stood at 2.8%, while core inflation, excluding food and energy, rose 3.1%. This cooling came before Trump’s proposed tariffs, which could put renewed pressure on prices. See inflation report at BLS.gov.
Fraud losses soared in 2024
The Federal Trade Commission (FTC) reported that consumer fraud losses reached $12.5 billion in 2024, a 25% increase from the prior year. While the number of reported fraud cases remained steady at 2.6 million, the percentage involving financial loss jumped from 27% to 38%. Imposter scams were the most common, but investment fraud caused the biggest losses, totaling $5.7 billion. See details at FTC.gov.
Major banks signal economic trouble ahead
Several major banks, including Citicorp, Goldman Sachs, HSBC, JPMorgan, and Morgan Stanley, have issued bearish outlooks, citing persistent inflation and a weakening job market. Their concerns point to potential turbulence in both the economy and the stock market. See article at Forbes.com.
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