What credit cardholders should know for 2025: Predictions, interest rates, changing benefits, & more

Credit cardholders experienced remarkable reward opportunities in 2024 but also grappled with rising debt and fluctuating interest rates. As 2025 unfolds, interest rates are expected to fall modestly, though high APRs will persist, emphasizing the need for proactive debt management.

Credit card balances and delinquencies continue to grow, albeit slower, with inflation and consumer spending shaping trends.

Updates to rewards programs include stricter access limits for Delta SkyClubs and changes to Alaska Airlines’ loyalty program, enhancing elite-qualifying mile earnings.

Fraud risks remain significant, with both digital and traditional threats persisting. Additionally, rising interchange and annual fees are likely as issuers adjust for increased costs.

Corporate mergers, such as Alaska Airlines-Hawaiian Airlines, promise future changes in benefits, while Capital One's potential acquisition of Discover could reshape the credit card landscape.