Frugality and Credit Narratives Follow Mounting Economic Concerns

Frugality Language Intensifies as Households Reassess Spending

Financial media drew increasing attention to household budgeting practices in November, with the density of language describing detailed budgeting as essential for most households rising to 82 percent above its long-term average. In part, this reflects financial media’s general tendency to emphasize financial planning in the face of broad affordability pressures and an ambiguous economic outlook – it’s easy to tell people to budget better when you’re not sure what else to tell them. Frameworks like the 50/30/20 budget method, which allocates 50 percent of income to needs, 30 percent to wants, and 20 percent to savings and debt repayment, are familiar friends to consumers of personal finance columns in stressed times.

On a similar note, the density of language claiming that cutting expenses is a key path to wealth creation rose to 82 percent above its long-term average. Media coverage in November reinforced this perspective through oft-maligned greatest hits from the ‘no lattes’ genre, noting, for example, that bringing lunch from home instead of spending $10 daily saves $140 monthly.

But it does seem to be a bit different this time. Language advocating meal planning and home cooking for financial success climbed to 93 percent above average in November, while language arguing that restaurant spending and food delivery has minimal wealth impact fell by 20 points, suggesting that financial media are actively trying to find rare financial topics that feel like they are within the control of their readers who feel like the economic and market picture is becoming increasingly cloudy. The narrative positioned home cooking not merely as a cost-cutting measure but as a strategic wealth-building practice that compounds over time.

Still, language arguing that extreme frugality causes harmful life deprivation rose slightly and remained well above average. The elevation of both pro-frugality and anti-excess-frugality language suggests that an uneven economy and market are creating an active debate about the relative value of financial discipline versus quality of life, particularly as affordability pressures persist across housing, childcare, and healthcare.

A Tale of Two Consumers

Those affordability pressures are weighing even more heavily on consumer credit narratives. Conversations in financial media about credit card use grew significantly more cautious in November, as language suggesting that credit cards provide important benefits when used responsibly dropped by 25 points. This decline occurred against a backdrop of record-high total credit card balances reaching $1.233 trillion in Q3 2025, the highest figure since the Federal Reserve began tracking this data in 1999. Outstanding balances jumped 6 percent year-over-year, with analysts noting that "the problem is that a lot of people already have a lot of credit card debt."

Language claiming that credit cards trap consumers in debt also rose modestly, but only to a level just above its long-term mean. The divergence between sharply declining positive credit card language and modestly rising debt trap language suggests that media outlets became more cautious about promoting credit card benefits in a worsening economic environment even as they stopped short of fully embracing anti-credit-card positions.

Still, there is no doubt that consumer financial stress has intensified. Average credit card APRs stood at 19.98 percent, with seriously delinquent balances (90-plus days past due) continuing a steady rise. Social media discussions reflected growing concern, with financial advisors calling credit card debt "the silent killer" and noting that "nothing destroys wealth faster" than high-interest credit card balances. Low-income Americans reportedly carried bigger balances heading into the holiday season "just to cover essentials," suggesting that debt accumulation has been driven by necessity among the lower-middle class rather than by runaway discretionary spending.

The credit environment revealed a "growing divide among consumers," with some borrowers experiencing financial distress while others strengthened their positions by benefiting from stock market gains and rising home values. As of June 2025, 46 percent of credit cardholders carried balances, down from 50 percent the previous year but still elevated by historical standards.

This divide extended to broader attitudes about household debt and strategies for managing it. Language advocating strategic debt use by households rose 21 points to 112 percent above average, while language arguing household debt should be reserved for emergencies only increased by nearly 13 points to 54 percent above average. These opposing movements appear to suggest that media has presented frameworks for thinking about debt to appeal to audiences in very different financial positions, with some sources focused on higher income households advocating strategic leverage while those focused on a more mainstream audience promoting debt avoidance and conservatism except in true emergencies.

But Please Don’t Buy a Car

In one major consumer credit category, however, most advice seemed to coalesce around a single narrative: don’t buy a car. Perscient’s semantic signature measuring language describing new vehicle purchases as financially foolish strengthened to 111 percent above average in November. Media coverage emphasized that new car prices "now average more than $48,000, while tariffs and inflation can make costs even less certain," theoretically making used vehicles an appealing option for cost-conscious buyers. Financial content argued that "inflation and cost uncertainty about tariffs make buying a used vehicle an appealing option for anyone looking to save money."

However, language criticizing used car purchases – largely based on hidden costs of repairs and other problems - surged as well, in this case to nearly 80% percent above its long-term average. This created a challenging narrative environment where both new and used vehicles faced widespread criticism in financial media. Used car prices showed mixed trends, with electric vehicles falling nearly $600 while most segments declined modestly, though overall pricing remained elevated compared to pre-pandemic levels.

Reliability concerns dominated used car discussions, even as automotive publications noted that "cars become more trouble-free over the multiyear span of a generation" as manufacturers learn from owner feedback and warranty claims. Consumer Reports identified specific value opportunities, highlighting that the Honda Fit offered an 11.6-year remaining lifespan at an average price of $18,336 for five-year-old models, equating to $1,583 per year versus $3,426 for the average five-year-old vehicle.

The simultaneous elevation of anti-new-car and anti-used-car language created a narrative squeeze, with consumers receiving messages that new vehicles represent financial waste while used cars present reliability risks. Media coverage emphasized "choosing a dependable brand" to minimize repair costs, though concerns about used vehicle reliability persisted across various sources.

This skepticism extended beyond the new-versus-used debate to broader questions about value. Language claiming luxury brands are overpriced ripoffs rose nearly 15 points to 67 percent above average, while language advocating quality purchases over cheap replacements fell 21 points to 58 percent above average. Social media discussions reflected frustration with vehicle affordability, with users noting that "20-year-old used cars that should sell for like $800 are priced at over $4k" and questioning whether used car purchases remain viable given current pricing.

Auto loan delinquencies reached their highest levels in 15 years at 3.0 percent, adding financial stress context to vehicle purchase decisions. The combination of elevated prices, reliability concerns, and financing challenges created a difficult environment for households needing vehicle transportation, with limited pathways to affordable, dependable options across both new and used markets. And if they were reading financial media, the message would have been clear: anything big you’re thinking about doing right now would be a dumb decision.

That sentiment seems to be emblematic of the overall household spending and budgeting narrative in financial media for November: it is an uncertain time, so control what you can control and don’t do anything big or anything rash. 

Archived Pulse

October 2025

• New Vehicle Purchases Gain Momentum Amid Attractive Financing
• Credit Cards Reframed as Strategic Financial Instruments
• Home Cooking Advocacy Rises While Dining Impact Narratives Fade

Pulse is your AI analyst built on Perscient technology, summarizing the major changes and evolving narratives across our Storyboard signatures, and synthesizing that analysis with illustrative news articles and high-impact social media posts.