Recent statistics show Americans are saving faster than they are spending. The shift in consumer spending habits in the Columbia SC economy began during the most recent recession. The trend looks like it will continue heading into the holiday shopping season and beyond.
The Frugal Columbia SC Economy
Americans saved over $40 billion in October alone. The savings rate grew to 5.6% — the highest level in almost three years. Spending only rose 0.1% between September and October.
According to experts, when the savings rate increases and spending is lukewarm it often means consumers are worried about the economy. That worry means tighter spending. Despite the higher savings rate, it doesn’t necessarily mean consumers fear a recession. The U.S. Commerce Department reported the economy actually performed better than expected during the third quarter, with growth of 2.1% — higher than initial estimates of 1.5%.
Recent trends in the Columbia SC economy show consumers are still spending, but are cautious with their purchases. Experts say they may be saving money for larger ticket items. Spending on smaller purchases is decreasing. Big box retailers like Target and Walmart expect sales this year to be relatively flat.
However, big ticket items do seem to be more popular. Automobile sales in the U.S. reached an all-time high this fall, and the sale of new homes are up over the previous year. Large home improvement stores like Lowe’s and Home Depot report increase in purchases of items costing $900 or more, including roofing material and kitchen counter tops.
This shift could mean homeowners are looking to make improvements to better maintain and add value to their homes. As a result, even when homeowners spend money on their homes — their largest asset — they may be accumulating greater wealth by increasing their home equity through adding value.
The bottom line is the Columbia SC economy is still seeing spending — it’s just more selective and more frugal. And as the saying goes, selective and frugal spending is better than no spending at all.
Find more articles and information that may affect the Columbia SC economy in our Columbia SC Real Estate News section to your right under Columbia SC Real Estate Categories. We also post news and tips each day on Twitter and Facebook. Follow us there for even more up to the minute news on the Columbia SC economy and how it could impact you.
A scam tied to the new "smart-chip" enabled credit and debit cards has reached the Columbia SC economy as millions of Americans await their banks to send the new cards. While the chips are designed to put an end to counterfeiting, as usual, the bad guys have other things in mind.
Crooks Target The Columbia SC Economy
Because it’s new, scammers are banking on you not knowing much about the smart-chip cards and how the banks will issue them. They’re sending out emails under the guise of your bank or financial institution requesting that you "updated their files" so they can mail you your new credit or debit card. Naturally, what they’re really trying to do is steal your personal financial information — either by you completing the emailed form or clicking a link in the email that would download malware to obtain it. It's just the latest in a series of identity theft scams to hit the Columbia SC economy.
Protect yourself as best as possible by knowing these tips:
- More likely than not, your bank will automatically send you your new card by mail. If you don’t receive it, call them and request it.
- Banks and financial institutions rarely call you on the telephone to request information of a confidential and sensitive nature about your checking, savings or loan accounts.
- Don’t click on suspicious email links. If you receive an email that asks you to do so, call your bank and verify it as soon as possible.
If you think you may have already fallen prey to this most recent identity theft scam, don’t panic. Call your bank and notify them of what happened. Report it to the local authorities, the credit bureaus and the Federal Trade Commission (FTC.) Lastly, monitor your credit report for any signs of identity theft or anything else unusual.
In our last video report, we took a look at how Wall Street experts and people on Main Street fared in 2014 when it came to predicting what was going to happen to the stock market, oil prices, and housing prices. In this report, let's see what the experts and a few people on the street think will happen to Columbia SC housing, oil and the stock market, in 2015…
Are you one of the many people who set New Year's resolutions each year, only to find that you've strayed away from that goal by the end of January?
If you've resolved to setting a budget this year, here are three things you MUST do in order to achieve your budget goals for the year…
We have more tips and articles for you when it comes to setting a budget and coping with the Columbia SC Economy by looking at that section under the Columbia SC Real Estate Categories to your right.
And don't forget, we also post tips daily on Twitter and Facebook, sometimes pertaining to setting a budget, the Columbia SC economy, or the economy in general. Find us there as well.
As the year is winding down, some December deals are starting to heat up. But not everything is a bargain. Some things you should definitely avoid buying in December, and some things, depending on when you buy during the month, can be a real bargain…
We have more tips for you at the link to your right under Columbia SC Real Estate Categories. And don't forget, Follow us on Twitter and Like us on Facebook!