A record number of holiday shoppers used buy now, pay later (BNPL) installment plans such as Klarna, Affirm and Afterpay for gifts in 2024, reported the Washington Post. According to recent studies, the usage of installment plans rose 10% from November 1 to December 31 compared to the year before, amounting to $18.2 billion in online spending, Adobe Analytics reported.

“That’s about 7.5% of overall online sales. Global usage was up 6%, according to Salesforce,” wrote the Washington Post.

“Americans are also relying on credit cards more than ever. Balances climbed 8.1% in the third quarter, a $24 billion increase, to a record $1.17 trillion, according to a November report from the Federal Reserve Bank of New York’s Center for Microeconomic Data,” the outlet reported.

Still, holiday spending was up in 2024—U.S. retail sales were strong from November 1 through December 24, wrote the Washington Post. “Spending rose 3.8% over last year, according to Mastercard SpendingPulse, which measures sales in-store and online across various forms of payment. Visa reported a 4.8% increase during the same period.”

According to Adobe Analytics, consumers used the services to primarily buy gifts such as electronics, apparel, video games, toys, health and beauty items, and home and garden needs, but also relied on them to buy food and groceries, a trend that has seen increasing growth the past several years.