As US consumers continue to struggle with debt, many are putting away their credit cards to avoid further financial difficulties, it has been claimed.

According to a report by Reuters, a number of retailers, including Wal-Mart, have seen a fall in the number of credit card transactions being carried out in their stores.

"Customers have maxed out on their credit limits," Eduardo Castro-Wright, head of Wal-Mart's US stores, said at a recent conference.

Reuters also cites research by America's Research Group, which shows that 60 per cent of US consumers plan to use their credit cards less this holiday season than they have done in previous years.

The news provider claims that tighter credit conditions have forced many citizens to cut back their spending on plastic.

However, it adds that the figures also suggest consumers are becoming more concerned about their ability to survive the economic downturn if they are saddled with debt.

Meanwhile, Innovest Strategic Value Advisors has predicted that credit card providers could be forced to write off as much as $41 billion worth of bad debt this year as consumers struggle to keep up with their repayments, the Register-Guard reports.

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