New analysis has been released about how inflation has driven increased credit card reliance across the U.S., with data specific to New York State.

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 New York State, 21.3% 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 New York State consumers: Survey results from last month show that 94.6% of adults in New York State report feeling stressed about recent price increases, and 93.6% say they’re concerned about future price increases as well.

Location	Rank	Share of adults that increased their use of credit cards due to prices	Share of adults that relied on credit cards to meet spending needs	Share of adults stressed about recent price increases	Share of adults concerned about future price increases
New York State	43	21.3%	41.1%	94.6%	93.6%
United States	-	24.2%	39.5%	94.1%	93.0%

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/.