Per Bankrate

A recent study from Bankrate found that credit card dependency reached an all-time high of 25% of over a thousand participants in the US. The survey found that a quarter of participants would result in credit card debt for a $1,000 emergency expense.

The survey polled over a thousand US adults since 2014, and one of its findings was that there were more people with credit card debt compared to those that had emergency savings. In the highest record since 2011, 36% of participants were found to have fewer emergency savings compared to credit card debt.

People aged 27-58 shared how around 40% of them had more credit card debt compared to short-term savings. It was also found that only 43% of US adults would use their savings to pay for an emergency expense.

74% of participants cited inflation and unemployment as the reasons why they couldn't save money. 68% of participants directly blamed inflation, which was up compared to 49% in 2022.

13% of participants reported that they did not have any credit card debt or savings. Mark Hamrick, the Senior Economic Analyst at Bankrate, gave a statement regarding Americans' savings.

Hamrick: “Anyone with no such savings, including those without access to credit, risks tremendous stress, or worse, on their personal finances when hit with a significant unplanned expense such as a major home or auto repair.”

An earlier report this year found that only one-third of Americans can afford $400 of emergency expenses. The survey was carried out by SecureSave, which included 1,100 adult participants.

The American personal saving rate dropped to a 17-year low as household debt climbed. Per the Commerce Department, the disposable income saving rate dropped to 2.3% in October 2022.

The last time that the US experienced low personal saving rates was in 2025. Inflation and rising borrowing costs were highlighted as the reasons behind Americans struggling to save their money.

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