From the CBA Data Desk: Credit Cards Helped Fuel America’s Fastest Post-Pandemic Recovery

CBA Highlights How Credit Cards Drove Over One-Fifth of GDP in 2022

In the latest Data Desk blog post, new analysis from the Consumer Bankers Association (CBA) highlights the important role credit cards play as drivers of economic growth. Overall, CBA found that credit card spending represents over a fifth of GDP – and grew by six percentage points from 2015 to 2022, as consumers used credit cards to bridge turbulent macroeconomic conditions and drive the post-COVID economic recovery.

The following blog post puts both consumer and business credit card spending into context by showing the proportion of Personal Consumption Expenditures (PCE) and Gross Domestic Product (GDP) that is tied to credit card spending. It also highlights how credit cards provide a boost to GDP and maintain consumer resilience through periods of high inflation. 

 Key Findings 

• Overall spending on credit cards was $5.83 trillion in 2022 (the latest data available), making up 33 percent of Personal Consumption Expenditures (PCE) and 22 percent of Gross Domestic Product (GDP).

• Credit card spending as a share of Personal Consumption Expenditures (PCE) and Gross Domestic Product (GDP), grew by roughly six percentage points from 2015 to 2022 as consumers used the liquidity provided by credit cards to make ends meet during a period of high inflation. 

• Even with the increase in spending, consumer credit card payment rates and balances as a share of income remain at or better than pre-pandemic levels.  

Total Credit Card Spending

According to the Federal Reserve’s Triennial Payments Study, credit cards remain one of the most popular forms of payment among Americans over the last 10 years—helping to power the economy and boost economic growth. Use of credit cards has grown from an estimated 31 billion transactions worth $2.8 trillion in 2015 to 55.3 billion transactions worth $5.42 trillion per the last estimate in 2022—an increase of over 75 percent and 90 percent respectively.

There are a couple of reasons for this increase. More generous rewards programs and expanded access to credit certainly contributed to the rise in the number of cards and card spending from 2015 to 2019. A bulk of the increase in card spending came , however, with the onset of rising inflation in the post-pandemic period after falling briefly during the height of the pandemic in 2020. (see Figure 1 Below).

(Figure 1)

Taking a deeper look into the most recent data, we can start to see how total credit card spending breaks out between general purpose and private label cards as well as spending by consumers and commercial businesses. Panels A, B, and C in Figure 2 below show this breakout for the most recent data in 2022, illustrating that consumers drove much of the credit card spending that year, with most of it stemming from general purpose rather than private label cards.

(Figure 2)

Why It Matters

As consumer spending dropped in 2020 during the height of the pandemic, GDP likewise fell and sent the economy into a brief recession. As a result of the economic stimulus that followed, spending rebounded accordingly. Even when inflation started to hit household budgets hard in 2022, consumers continued to spend. Why? Because they had additional liquidity in the form of credit cards—and they used it—helping to lead one of the strongest and fastest post-COVID economic recoveries in the world.

Let’s dig deeper to understand credit card spending in the context of GDP. 

Credit Cards and Personal Consumption Expenditures

To understand the relationship between credit card spending and gross domestic product (GDP), we need to first look at total personal consumption expenditures (PCE). Consumer spending, measured by PCE, makes up more than two-thirds of GDP. As CBA’s analysis shows, much of that spending came from credit cards in 2022.

Credit card spending totaled $5.83 trillion by the end of 2022 compared to just $4.19 trillion in 2019. At the same time PCE grew from $14.8 trillion to $18.1 trillion. Over a fourth of the increase in PCE came from credit cards. In 2022, credit card spending made up about a third of overall PCE both boosting the economy while providing liquidity for consumers as prices increased and government stimulus began to wane. 

Credit Cards and Gross Domestic Product

Finally, we turn to GDP. With data on credit card spending and a clear indication that at least a large portion of PCE came from this spending, we can look at the share of overall GDP that comes from credit cards.

In 2022, GDP totaled roughly $26 trillion. Remembering that credit card spending totaled $5.83 trillion, we find that credit card spending alone accounts for 22.4 percent, or one-fifth, of gross domestic product. As Figure 3 below shows, this share has been increasing over the years, with credit cards providing consumer liquidity that boosts economic growth.

(Figure 3)

Credit Card Spending and Credit Card Debt

Despite credit cards helping drive GDP through the post-COVID recovery and period of high inflation, consumers have still been faring relatively well with their credit card debt by historical standards. Figure 4 below shows that as the underlying Fed Funds rate (yellow line) increased interest rates on existing and new credit cards from 2022 to 2024, the share of consumers’ disposable income relative to their credit card balances (blue line) remained at or below pre-pandemic levels.

(Figure 4)

Additionally, Figure 5 shows credit card accounts at large banks continue to display healthy payment behavior. As of the first quarter of 2025, a higher share of credit card account holders are paying their entire balance off each month compared to before the pandemic. While the increase in credit card spending and higher interest rates increased card balances, consumers have largely maintained their ability to make payments on these balances. Further, while credit card delinquencies rose during the initial inflationary period, they have been declining over the last three quarters.

(Figure 5)

The Bottom Line

Preserving a strong and resilient credit card market is essential to the health of both consumers and the broader economy. Credit cards provide millions of Americans with secure, flexible access to credit, helping families manage everyday expenses, handle emergencies, and build credit histories that open doors to greater financial opportunity. For the economy, credit card spending drives GDP growth, fuels small business expansion, and supports innovation across the payments ecosystem A well-regulated, competitive credit card system ensures consumers continue to benefit from rewards, protections, and access to credit—while maintaining stability in a vital segment of the broader economy.