CFPB: U.S. Credit Cards Are Prosperous and Strong

Summary

The CFPB’s 2025 credit‑card market report shows a robust U.S. payments landscape, with retail, professional services and food spending leading categories and overall balances rising, especially among subprime and deep‑subprime consumers whose APRs have climbed sharply. Payment behavior has improved, as a higher share of cardholders now pay in full and fewer rely on minimum payments, though persistent debt remains concentrated in lower‑score segments. The issuer market has consolidated, with the top ten banks holding over 80% of balances, while smaller banks and credit unions see a declining share, prompting small issuers to sharpen offers to stay competitive. The report cites Javelin research on identity fraud and credit‑line management, and forecasts a strong 2026 driven by tax refunds and consumer confidence, but warns smaller issuers to be vigilant.