Suze Orman Says a Gift That Leaves You Paying Card Interest ‘Is Not Generous’ — and the Math Backs Her Up

At 22% interest, $1,000 in gifts paid off at $50 a month can take 26 months and cost roughly $260 extra.

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Suze Orman has a warning for anyone putting together a holiday shopping list.

“True generosity requires that giving be generous to the giver as well as the recipient” (1).

That may sound overstated, but the money lesson behind it is hard to argue with. A present you cannot really afford may feel generous, but if it lands on a credit card, you are the one left paying interest.

I have worked as a CPA since 1981, and I also served on the advisory board of our local Consumer Credit Counseling Service. On the credit card issue, I fully agree with Suze.

Here is why. According to the Federal Reserve, credit card accounts at commercial banks carried an average rate of 22.15% in the second quarter of 2026 (2).

Americans are already carrying a heavy load. The Federal Reserve Bank of New York reported that credit card balances climbed by $21 billion to $1.26 trillion in the second quarter (3).

Here are five ways to give generously without paying for it for years.

1. If you already have a balance, do not add to it

If you are already carrying card debt, holiday spending just gets layered on top, and you pay interest on everything.

If your debt has grown to the point where the exit is no longer clear, it may be time to look for professional help.

For unsecured debt of $15,000 or more, National Debt Relief offers a free review. A debt specialist reviews your situation and, if appropriate, builds a plan and estimates when you could be debt-free. There is no upfront fee and no obligation to begin.

One important caution: the Consumer Financial Protection Bureau says debt settlement “can have a negative impact on your credit scores and your ability to get credit in the future” (4).

Before signing anything, ask exactly how the program works and what it will cost.

2. Do the math before you swipe

Suppose you charge $1,000 in gifts to a card with a 22.15% rate and pay $50 a month. It would take 26 months to eliminate the balance, and the interest would total about $260. Increase the payment to $100 a month, and the balance is gone in 12 months with about $116 in interest.

Your statement also has to show you this information. Card issuers must tell you “how long it will take you to pay off your current balance if you make no further charges and pay only the minimum amount due each month,” according to the Consumer Financial Protection Bureau (5).

If you are already carrying a balance at that kind of rate, a 0% intro APR card can give you room to pay it down.

One option, the Discover it® Cash Back card, offers 0% intro APR on purchases and balance transfers for 15 months, followed by a variable APR of 18.74% to 28.74%. A balance transfer fee applies, and there is no annual fee. See the card's terms.

The catch is simple: if the balance is not paid off before the intro period ends, you are back where you started. Use the offer to get out of debt, not to take on more spending.

3. Set a holiday budget and find the money first

The Orman post suggests that “maybe this is the year to try a mini-budget for what you will spend” (1). I would take that idea a step further and look for extra cash by sealing spending leaks.

Forgotten streaming services, free trials that never ended, and bills that quietly rise every year are some of the easiest leaks to miss. Rocket Money connects securely to your accounts and puts every subscription in one place, so you can cancel the ones you do not want in a few taps.

It can also negotiate cable, internet, and phone bills and flag fee increases before they arrive. Members have saved more than $880 million in canceled subscriptions so far.

Ten minutes could stop the leak for good. See every subscription now.

Quick aside — much of the internet's financial advice comes from people who were not alive during the last recession. I have been writing about money for more than 35 years. If you want reliable guidance, sign up for the free Money Talks Newsletter. It takes 10 seconds. No fluff. No spam.

4. Give something they will remember, not something you will finance

“A batch of your favorite holiday cookies along with a personal note is perfection,” the post says (1). And if you are traveling to visit family, the advice is even simpler: “You are the gift” (1).

Some of the best gifts cost very little: a handwritten letter, a family recipe written out, or time spent together. Nobody keeps a credit card statement as a keepsake.

5. Talk to the family before December

The hardest part of spending less on gifts is not the shopping. It is the conversation.

So have it now. Suggest a spending cap, a gift exchange where each person draws one name, or a plan that focuses gifts on the children. Someone else in the family may already have been hoping you would bring it up.

As the post puts it: “Repeat after me: Who I am is what matters, not what I give” (1).

My honest take

Suze is right, and it is not even close. A gift that is still showing up on your credit card statement next summer is not really a gift. It is a loan with wrapping paper on it.

“What may seem okay in the midst of the holidays can cause plenty of remorse in January when the bills are due,” the post warns (1).

Give what you can afford to pay for in December. The people who care about you want your time and company, not your debt.