Financially Coping and Vulnerable Households Spent $255B for Everyday Financial Services
The Financial Health Network, the nation’s authority on financial health, in partnership with Prudential, today released The FinHealth Spend Report 2021, the evolution of its annual market sizing report, showing financially coping and vulnerable households account for 84 per cent of spending on fees and interest for financial services (for a total of $255B), despite representing less than two-thirds of the population. In particular, financially vulnerable households spent, on average,13 per cent of their annual income on the products studied, compared with five per cent for financially coping households and just one per cent for financially healthy households. Financially coping and vulnerable households are those who struggle to spend, save, borrow, and plan.
CONTENT: Blog
Following the murder of George Floyd last summer, countless companies and their senior leadership publicly condemned discrimination in any form, announced various financial commitments aimed at accelerating change and, in some cases, unveiled long-term initiatives to fundamentally alter their business practices to meet the needs of all people.
Fast-forward to today: A new presidential administration committed to addressing systemic racism and economic inequality has taken office in the U.S. But what does this mean for businesses that pledged to help stamp out systemic racism just a few months ago? How can they make good on their commitments now and maintain momentum into the future?