A third of U.S. consumers took on debt at an average of $1,223 during the 2025 holiday season, according to a LendingTree survey of more than 2,000 respondents.
In all, 37% of consumers surveyed racked up holiday debt, averaging $1,223 as registered by mid December, up from $1,181 in the year before and the highest figure since 2022, Lending Tree noted. Parents with kids younger than 18 were hit harder, with 48% borrowing to cover holiday-related costs, assuming an average of $1,324 in debt.
Although 41% of consumers in the survey said they planned to purchase toys and games, the highest proportion recorded, 38% were ready to buy jewelry, 31% food or drink, 28% beauty or personal care items, 25% books or educational materials, 17% home goods and 14% household appliances.
Among those who took on debt in the 2025 holiday season, Lending Tree maintained, 41% said they were still digging out from the previous year’s bills. As they cope with finances, 59% of consumers with holiday debt this season admit they’re stressed about it, and 47% regret spending as much as they did, a sentiment more commonly expressed by parents of young kids, at 52%.
In dealing with macroeconomic issues, 45% of consumers said they planned to give fewer gifts in the holiday season due to tariffs. In addition, 46% said gift prices have ruined the holidays for them, led by Gen Zers at 57%, Lending Tree pointed out. In weighing how to purchase, 45% of consumers giving gifts this year said they have used buy-now, pay-later financing for at least one purchase.
Among holiday debtors, 49% still planned to go into the red. Most of their debt is on credit cards, at 62%, BNPL loans, at 35%, or store credit cards, at 32%. When asked how long it will take for them to pay off the debt, Lending Tree stated 63% of consumers said three months or longer, with 40% saying they are paying interest rates of 20% or more.
