What's Happening?
As the holiday shopping season begins, consumers are being advised to make informed decisions about their spending. WalletHub has released a list of top credit card options to help maximize savings during
this period. The Wells Fargo Active Cash Card is recommended for general shopping, while the American Eagle Outfitters Card is highlighted as the best store credit card. For those seeking bonus rewards, the Blue Cash Preferred Card from American Express is suggested. In terms of gift cards, Visa, Amazon, and Target are noted as the most popular choices, offering significant discounts. This advice comes as U.S. consumers have added $16 billion in credit card debt in the third quarter of 2025, increasing the total to $1.33 trillion. WalletHub emphasizes the importance of budgeting, building an emergency fund, and maintaining good credit by keeping up with payments.
Why It's Important?
The guidance from WalletHub is crucial as it addresses the growing concern of rising credit card debt among U.S. consumers. With the holiday season being a peak time for spending, the recommendations aim to help consumers manage their finances more effectively and avoid further debt accumulation. The identification of specific credit cards and gift cards that offer savings and rewards can assist consumers in making cost-effective choices. This is particularly important in the context of the current economic climate, where managing personal finances is becoming increasingly challenging. The advice to budget and maintain good credit practices is intended to mitigate the risk of financial strain during and after the holiday season.
What's Next?
Consumers are expected to evaluate their spending habits and consider the recommended credit and gift card options to optimize their holiday shopping experience. Financial advisors and consumer advocacy groups may continue to provide guidance on managing holiday expenses and avoiding debt. Retailers might also respond by offering additional promotions and discounts to attract budget-conscious shoppers. As the holiday season progresses, monitoring consumer spending trends and debt levels will be important to assess the effectiveness of these recommendations.
