While the percentage of U.S. consumers classified as financially unhealthy has remained stable, many also report working in a second job or side gig to stabilize their finances, according to a recent survey by J.D. Power.
Overall consumer financial health levels were stable in August, with the share of consumers who were either vulnerable, overextended or stressed remaining steady at 64%, according to the survey. J.D. Power measures consumer financial health by combining factors such as spending/savings ratio, creditworthiness and safety net items like insurance coverage.
At the same time, one-third (33%) of consumers report working a second job or maintaining a side hustle. The rate was highest among consumers under age 40 (45%) and those who are financially overextended (43%). More than half of all respondents (53%) said they are working longer hours today than they were six months ago.
“This is where banks can step in and play an important role,” according to J.D. Power. “With consumers looking to make extra money to pay down debt or achieve a financial goal, banks can be valuable partners in prioritizing these goals and coming up with a plan on how to achieve them.”
