MARYLAND (WDVM) — The pandemic has certainly been an economic setback for many people in the country, especially for younger generations. Despite this, according to a study done by cardratings.com, the majority of people intend to spend just as much during the holidays this year as they did last year, and many people even intend to spend more.
The study found that 72% of respondents felt they would spend at least as much as in late 2019. Of that 72%, 21% (more than 1 in 5 people) said that they would spend more.
It might seem counterintuitive for people to spend more after losing so much money during the pandemic. But it turns out that, for many, the pandemic actually saved them money in unexpected ways.
“People have money in the budget to spend more this year. Vacation plans have been canceled, people are not going home for the holidays, entertainment costs are down in 2020 overall,” said Jennifer Doss, a site editor for cardratings.com. Another reason, she said, was that shipping costs were present this year that did not need to be accounted for last year.
The study also found that fewer people than last year intend to go into credit card debt after shopping for the holidays, indicating that people are potentially being far more cautious with their money post-pandemic.