Planned Purchases Rise as Financial Stress Eases, Study Finds

Many Americans are turning themselves down for credit before a lender ever does.

That is the through line of “Consumer Credit Economy: Strategy vs. Spontaneity—Navigating the Great Credit Divide” a PYMNTS Intelligence report.

Based on a U.S. census-balanced survey of 2,049 U.S. adult consumers, the report finds a wide mismatch between how consumers think credit works and what they have actually experienced when applying.

It also shows that credit plays two roles at once: a planning tool for intentional purchases and a backstop for the unexpected. The most actionable insight for issuers is not only that flexibility sells, but that confidence can be engineered through clearer messaging, smarter product design and features that let consumers dial benefits up or down as their month changes.

That gap is real, as the data shows:

Forty-two percent of consumers say they doubt they would be approved for a new credit card, a level of concern far above the denial rates reported by consumers without cards.

Fifteen percent is the reported denial rate for general-purpose credit card applications among respondents without an active credit card, while 43% of that same group say they have never applied at all.

Nine percent of consumers are at least somewhat interested in a credit card that lets them choose each month between earning rewards and getting a lower interest rate.

The report’s other findings help explain why the “strategy vs. spontaneity” divide persists, and where growth can come from.

Age is a major factor. Younger consumers are more likely to use credit for spur-of-the-moment purchases, while older consumers lean toward planned spending. Financial pressure matters, too. Consumers living paycheck to paycheck and struggling with bills are less able to confine credit to planned expenses and more likely to use it when something breaks, a bill lands early or cash runs short.

Product design is the second lever. A meaningful share of consumers says premium features have a dollar value. The typical consumer would pay about $99 as a one-time fee for a bundle of features such as zero-interest installment plans, premium rewards, higher limits and stronger customer support. Interest also clusters around control.

Roughly half of consumers express interest in features such as customizable spending controls by category, automatic conversion of large purchases into installment plans, and cards that let customers move the due date to match their pay schedule.

The report also points to a segmentation opportunity hiding in plain sight: consumers are not uniform “revolvers” or “transactors.” Many are both, depending on the week. Strong credit scores appear to enable more deliberate card selection and rewards optimization, while subprime consumers show heavier reliance on credit for essentials.

Yet a sizeable share of consumers say they have no strategy at all for credit products, suggesting room for education that is practical, not preachy, and for products that are simpler to understand and easier to use well.

Taken together, the findings sketch an optimistic roadmap. If issuers reduce the fear factor, make approval and product fit easier to understand and build flexible features that match real life, more consumers may decide to apply and to use credit in ways that improve both outcomes and satisfaction.

At PYMNTS Intelligence, we work with businesses to uncover insights that fuel intelligent, data-driven discussions on changing customer expectations, a more connected economy and the strategic shifts necessary to achieve outcomes. With rigorous research methodologies and unwavering commitment to objective quality, we offer trusted data to grow your business. As our partner, you’ll have access to our diverse team of PhDs, researchers, data analysts, number crunchers, subject matter veterans and editorial experts.