Tis the Season to Cut Back?
In spite of record breaking sales on Black Friday and Cyber Monday, some 91% of respondents plan to either cut back or spend nothing this holiday season, according to a poll taken on the website of the National Foundation for Credit Counseling.
The month-long November polling found that 40% of respondents do not intend to spend any money on holiday purchases and 51% plan to cut back on spending citing concerns about their financial circumstances.
The year-over-year trend reflects a six percentage point increase in the number consumers who indicated they will spend zero dollars during the holiday, the NFCC said.
“Historically, consumers have put aside their financial concerns during the holidays, even if to their detriment, and spent at some level,” said Gail Cunningham, spokesperson for the NFCC. “These figures provide a snapshot of the desperate situation in which consumers find themselves, and how seriously they are taking their situation.”
Seven percent of respondents revealed that they will spend as they did in 2010, and three percent plan to spend more than they did last year.
The NFCC said 1,232 people responded to its November Financial Literacy Opinion Index conducted on its home page from Nov. 1-30.