WalletHub: 1 in 3 Americans Accept Phone Debt

More than one-third of Americans believe taking on credit card debt is justified to purchase the newest smartphone, a new WalletHub survey released Wednesday indicates. The data highlights a disconnect in consumer sentiment, as nearly nine in ten respondents simultaneously described current phone prices as excessive.

The survey also measured social pressure, finding that nearly half of participants would feel inferior if they used a budget cell phone plan. John Kiernan, managing editor at WalletHub, attributed these conflicting results to the device's role as a status symbol. He noted that 32% of people associate always owning the latest iPhone with wealth.

“A lot of it has to do with keeping up with appearances and presenting a certain image to others,” Kiernan said. He added that many individuals wish to project that impression regardless of their actual financial standing.

Beyond social factors, Kiernan pointed to professional needs. He stated that for some users, acquiring the latest model is less about fashion and more about maintaining the technological capabilities required for work tasks.

Kiernan offered advice for consumers looking to save. He recommended comparing offers from different carriers, noting that switching providers often results in receiving a new phone and additional devices. He also suggested considering the model immediately preceding the latest release, which typically offers similar features at a lower cost. Researching bundled services could also yield better pricing.

The survey was conducted by WalletHub and published on November 5, 2026.