Read our full analysis for a more in-depth look at these trends.
Consumer Checkpoint: Weathering the storm
Overall consumer spending strength endures despite affordability issues and gaps across income groups.
February 2026
Key takeaways
- Consumer spending showed solid resilience in January, with total card spending rising 2.6% year-over-year (YoY) — the strongest pace in nearly two years — despite weather‑related disruptions, according to Bank of America internal data.
- Income‑based divergence in spending and wage growth persists, and we are concerned that a “K” shape is opening up between higher-income households and middle-income households, alongside the existing gap with lower-income households.
- Households remain adaptive and financially stable overall in the face of significant affordability challenges, supported by trading‑down behaviors, elevated savings and “dry powder” to borrow. Moreover, we think higher tax refunds may provide a significant support for consumers.
Consumer Checkpoint is a regular publication from Bank of America Institute. It aims to provide a holistic and real-time estimate of U.S. consumers’ spending and their financial well-being, leveraging the depth and breadth of Bank of America proprietary data. Any such Bank of America proprietary data is not intended to be reflective or indicative of, and should not be relied upon as, the results of operations, financial conditions or performance of Bank of America.
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