US consumers cut the card spend, first credit decline since November 2024

Most consumers have become more judicious in how they use credit in a world where interest rates and inflation are much higher than they were pre-pandemic, writes KPMG US Senior Economist Benjamin Shoesmith.

Consumer credit in the United States (US) edged down less than 0.1 percent in May; the first decline since November 2024. On an annual basis, consumer credit expanded 2.1 percent, the slowest pace in the last six months. A decline in revolving credit was nearly offset by an increase in non-revolving debt. Revolving debt, made up primarily of credit cards, fell 4.7 percent in May after reaching double digit growth in April. May retail sales topped expectations due to soaring prices at the ...

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Authors: Benjamin Shoesmith

Published Date: 13 July 2026