[Phillips:] Notice how the stores felt just a little more crowded this year than last? It wasn't just you. New numbers out today suggest that shoppers were more comfortable dropping some cash around this time. Alison Kosik joins us from New York. So Alison, these figures are, I guess, a bit of a belated gift for retailers, right?
[Alison Kosik, Cnn Correspondent:] They are. Although, you know, we may not be able to call it a turnaround yet. But you know, this is definitely an improvement. The first hard figures on sales come from MasterCard's spending polls. They show holiday spending rose more than 3.5 percent from a year ago. Of course, what we're doing is comparing it to a horrible 2008, when we saw sales tumble by almost 2.5 percent. Still, the bounce in spending is really great news for the retail sector, which managed to avoid repeating last year's disaster, despite tight credit, high credit card interest rates and double-digit unemployment. MasterCard says online sales were really a hot spot, surging more than 15 percent between November 1 and December 24. We saw consumers buy consumer electronics, footwear and jewelry, both online and in stores. And fortunately, that major winter storm that blasted the East Coast the Saturday before Christmas didn't take much of a toll, with shoppers making up the lost day by hitting the stores before the storm came and immediately after. You know, they were truly determined shoppers, Kyra.
[Phillips:] All right. So how do you get those determined shoppers to keep coming through the doors well into January and beyond?
[Kosik:] Yes, and that is really the big question. It's definitely going to be a big hurdle for these retailers, partly because many of them have kept their inventory so lean so there's not as much merchandise to put on sale. There's another negative. It doesn't look like gift-card sales were very strong this year, and that's a big worry, since many experts consider gift-card redemption the lifeblood of the post-Christmas season, since shoppers typically spend more than the value of, you know, what's on the card. Even this past weekend, which was a great time to find deep discounts, people just weren't redeeming them. There's a spokeswoman for one mall operator who tells the A.P. that gift-card redemption rates averaged just 10 percent on Saturday and Sunday. In good years, those rates run between 30 and 40 percent. So you see that difference there. But overall, Kyra, you know, the picture is a lot brighter than it was a year ago, maybe even brighter than it was a few weeks ago. MasterCard compares the state of the economy between this year and last, saying we've gone all the way from critical to stable condition. And, you know, as we talked about before, the reason this is so critical is that consumer spending is going to lead stores to restock their shelves, and that can prompt manufacturers to start hiring again. It's that good domino effect that we want to see happen Kyra.
[Phillips:] Thanks, Alison.
[Kosik:] Sure.
[Phillips:] Well, you may want to think about some fresh plastic for 2010. Let's talk about this with personal finance editor Gerri Willis. Gerri, there will be new credit-card rules, come February, right? So how can people take advantage of them?
[Gerri Willis, Cnn Personal Finance Editor:] That's right, Kyra. Credit-card companies will have to play by those new rules in 2010, but until then, it's likely you've gone through the wringer with your old card. It's estimated you've paid $110 in interest alone this year. And for all Americans, that number is closer to $10 billion. The worst offenders here: Capital One, Citi, Discover. Card holders there were socked with a 32 percent rate increase since January. Fortunately, the end of those rate hikes is coming soon. The House voted to enforce tougher credit-card rules, with the Credit Card Act, by February 2010. So what can you do now to get a better card? Well, local community banks typically have rates that are 1 to 2 percentage points lower than big-bank cards. Here's some things you should ask for before signing up for a new card. Interest rates below 10 percent. That's if you have a good credit score. Fees that are capped. And 25-day grace periods give you a little bit longer time to pay off that bill Kyra.
[Phillips:] All right. Well, what cards are at the top of the list for experts right now?
[Willis:] Well, we went to CardRatings.com to get a list of cards that have good terms. Here they are. Pentagon Federal Low-Rate Visa Gold. Yes, it has an APR of 12.49 percent and low balance transfer fees. Simmons First Visa Platinum. The APR there, 7.25 percent. There is no balance transfer. And IberiaBank Visa Classic. They have a 25-day grace period, low balance transfer fees Kyra.
[Phillips:] Gerri, thanks for the tips. Next hour Gerri's going to tell us how credit-card companies are trying to disguise opt-out offers as junk mail. Isn't that nice? We're going to talk about that next hour right here in the CNN NEWSROOM. Well, that Christmas week storm that clobbered the Plains, it's not through yet, and it's keeping the emergency room busy. We'll explain.