Your Money Minute Credit Card Spending Popped In January 2/27/26
Feb 27, 2026
Liz Everett Crisburg, Head of the Bank of America Institute, provides quick economic analysis. She discusses a January jump in credit-card spending. She explains the rise was driven mainly by wealthier households. She also notes middle- and lower-income consumers pulled back in January.
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January Credit Card Spending Jumped 2.6 Percent
- Credit card spending rose 2.6% year over year in January, the strongest pace in almost two years.
- Bank of America data shows the gain was driven largely by wealthier consumers while middle and lower incomes pulled back slightly.
Spending Gap Growing Between Higher And Middle Income
- The headline rise masks a widening split between income groups, with higher-income households driving growth.
- Liz Everett-Crisburg warns the gap is now widening between higher and middle incomes, not just higher and lower ones.
Middle Income Pullback Signals Risk For Economy
- Middle- and lower-income consumers pulled back on spending in January, offsetting strength at the top.
- Jessica Ettinger and Liz Everett-Crisburg note the middle is trending down, which matters because consumer spending fuels about two-thirds of U.S. growth.