Credit card spending recovered by 4.1 percent in June and 7.2 percent in July compared to a year earlier, raising hopes of a rally in private consumption.
With the exception of March, credit card spending had been dropping since November.
The Credit Finance Association of Korea on Tuesday said Koreans used their plastic to spend W47.2 trillion in July (US$1=W1,117).
"Government spending increased 3.9 percent on-year due to the frontloading of fiscal spending, while household spending improved due to lower interest rates," a CFAK staffer said.
The hot summer weather and holiday season contributed to a 26.2-percent rise in spending on health clubs and a 22.9-percent increase on hotels and resorts. Auto repair expenditures rose 16 percent and spending on karaoke rooms 10.9 percent.