The news: US debit cardholders spent more on dining and travel as the weather warmed, boosted in part by tax refund season, per Galileo’s Q1 2026 Galileo Spend Index.

• Dining and fast food transactions grew 18% over the quarter.
• Debit travel spending value surged 37%, outstripping transaction volume growth by 15 percentage points.

This indicates that consumers are spending more per booking through add-ons like experiences, longer trips, and the impact of rising jet fuel passed along to consumers. That could intensify after the elimination of super-low cost carrier Spirit keeping fares competitive. 

And debit transaction value from cards saved on file accounted for the largest growth of any payment method, up 29.7%.

Other key takeaways: 

Essentials. Debit spend on essentials made up the largest share of transactions for Q1, including food, fuel, pharmacy, and utility payments. Utility spend per transaction increased nearly 15%, reflecting typical patterns for winter heating costs. However, debit spend at gas stations soared 19.2% from January to March.

Digital payments. Digital payments’ share of transactions increased from 59.4% in Q4 2025 to 63.6% in Q1 2026. Card on file payments accounted for the largest share of digital payments; average card on file transaction value increased to $61.23.

Implications for issuers: Debit spending on credit card rewards-rich categories like travel suggests that consumers are trying to splurge without taking on unnecessary debts—sacrificing perks to remain within budget.

These consumers may be primed for cross-selling HYSAs to bank discretionary funds, especially for accounts that allow separate buckets for specific savings goals.

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