No abstract

Positive financial behaviours of consumers are examined using a national sample of consumers who use credit counselling services in the US from a behavioural economic perspective. The findings indicate that consumers in credit counselling may follow a hierarchical pattern in their financial behaviours, paying off debts and adjusting spending before considering saving. Consumers who are older, have a part‐time job (vs. the unemployed), and report a more secure retirement, a better family relationship, and a higher score of self‐evaluation of financial behaviours are likely to report more positive financial behaviours. Reporting more financial behaviours and a higher score of self‐evaluation of financial behaviours, along with several demographic and perception variables, tend to reduce financial stress and increase financial satisfaction among consumers who use credit counselling services.

Credit counseling, Financial education, Financial stress, Personal finance, Work absenteeism,