After coming out of the depth of the pandemic in a relatively strong position, consumers felt like their household finances remained in relatively good shape. However, concerns over future finances worsened as issues like inflation and interest rates dampen optimism.
Despite a bearish outlook, consumers still indicated a strong affinity for credit and said they will continue to use and seek additional credit even if inflation worsens. Consumers remained generally confident they’d be approved for credit. While credit cards remained the popular choice, newer purchasing solutions like buy now, pay later (BNPL) have gained attention.
Consumers have turned more to credit monitoring to keep on top of issues like accuracy and fraud. Additionally, more consumers indicated they’re satisfied with how their information is being used for credit decisions. However, they remained concerned with how much personal information they’re willing to share, noting identity theft and invasion of privacy as the top concerns. Despite these concerns, more than one-third of consumers said they do at least half their financial transactions online.