Read our full analysis for a more in-depth look at these trends.
Consumer Checkpoint: April showers
April spending growth rose to multi-year highs, but there are signs of stress beneath the surface for some households.
May 2026
Key takeaways
- Spending growth was strong in April, according to Bank of America internal data. Total credit and debit card spending per household rose 4.8% year-over-year (YoY), up from 4.3% YoY in March. Excluding gasoline, card spending was still a strong 4.0% YoY. However, spending growth did slow in April from March across multiple discretionary "nice-to-have" categories.
- The “K” shape in spending and wage growth persists, with higher-income households faring better than other cohorts. And we see signs of this particularly with lower- and middle-income households easing back on discretionary spending in April, while their higher-income counterparts continued to power forward, according to Bank of America internal data.
- Households have some near-term buffers to support their spending, according to Bank of America internal data, but they are uneven. Lower-income households likely have the least capacity to finance spending through credit, while tax refund benefits have skewed towards higher-income households. Still, households appear to have saved around half of their refunds so far, which may have helped to weather higher gas prices.
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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