Student loan payers outperforming in the 2024 holiday season

Student Loan Payers outperforming across the board this holiday season

Active Student Loan Payers outperformed non-payers by 2.1 points across major holiday spending categories according to Earnest Orion transaction data. Student Loan Payers is one of several Earnest Customer Groups that investors and companies use to isolate spending by psychographic.

The data suggests that this group of spenders are performing well this holiday season despite the student loan payments resumption.

The study isolated consumers deemed active Student Loan Payers during the period between November 1 and December 6, 2024. That cohort’s spending during the 2024 holiday season was then compared to non-active student loan payers (“non-payers”).

Student Loan Payers outpaced non-Payers by the largest margin in the Sporting Goods category, a 3 point YoY boost in growth. General Merchandise, Department Stores, and Home Entertainment all outperformed by at least 2 points among Student Loan Payers. This is a reversal for some categories that saw Student Loan Payers underperform when payments resumed in October 2023.

Student Loan Payers outpaced non-Payers by the smallest margin in Health & Beauty, with a 48 basis point boost.

Student Loan Payers skew towards Pets, Hobbies, and Health & Beauty spending

Around 12.3% of all US households made student loan payments from November 1st to December 6th, 2024.

Active Student Loan Payers overall accounted for 7.5% of spending across these holiday categories. The active Student Loan Payer cohort constituted 8.5% of total Pet Supplies and 8.4% of Hobbies & Toys spending. The group comprised 8% of Health & Beauty, 7.5% of General Merchandise, and 7.5% of Department Stores spending this holiday.

Home Furnishings and Electronics had the lowest share of active student loan payer spending, 6.6% and 6.7% respectively.