New Research Demonstrates The Evolution Of Financial Invisibles Perceptions And Behaviors

Financial invisibles are those who are either neglected by or left out
of the traditional financial system. Their lack of participation
originates from their life circumstances, perception of their current
financial stability and their outlook on the future. PYMNTS, in
collaboration with Unifund, surveyed 2,000 Americans to dive into and
derive insights from their relationships with credit and debt.

The survey analyzed four personas:

Considered as a whole, the sample had an average credit score of 695,
average income of $70,000 per year, average age of 45 and employment
rate of 60 percent or greater.

All four personas were studied, but the report zeroed in on the Second
Chances group. Despite sharing similar life circumstances with the No
Worries subset, Second Chances behaved somewhat like Shut Outs.
Seventy-one percent reported being behind on bill payments, as did 79
percent of the Shut Outs. Both tapped into nontraditional payment
products when looking for alternative ways to manage their personal
finances, with as many as 13 percent of Second Chances and 3.6 percent
of No Worries consumers resorting to personal loans. Both expressed
pessimism about their financial futures.

Other key takeaways from the July edition of the PYMNTS Financial
Invisibles Report, a Unifund collaboration, include:

To learn more about consumers’ perceptions of their financial situations
compared to their realities, their reasons for choosing traditional
versus nontraditional financial products and the factors influencing the
decision process, download
the Financial Invisibles Report.

About PYMNTS:PYMNTS is where the best minds and the best
content meet on the web to learn about “What’s Next” in payments and
commerce. Our interactive platform has reinvented how companies in
payments, commerce and retail share relevant information about the
initiatives that make news and shape the future. Our data and analytics
team includes economists, data scientists and industry analysts who work
with companies to measure and quantify the cutting-edge innovations in
this new, dynamic commerce ecosystem.

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