The stigma of being in debt or behind on payments remains, whilst stories of hiding behind sofas have hopefully disappeared to folklore - whatever Open Banking is to become and how the technology is leveraged to the debt recovery sector the ‘Open’ is based on consent and that is a factor where the perceived stigma associated with being in debt may present a challenge that will need to be overcome. This research shows it’s likely to be the majority that will need convincing.
27% of people would be happy for their information to be shared if it was used to help them better manage their bills or provide more tailored support if they fell behind on payments. However, one in five (20%) of people wouldn’t agree to data sharing, even if it could provide more proactive and personalised debt support. Another 29% of those surveyed also stated that they would worry about the security of their data if it was shared in this way. Interestingly, the age groups which – earlier in the research – had claimed they were most financially stretched (25-34 and 35-44) were most reticent about data sharing. This may be reflective of today’s “debt stigma”; the fact that 52% of people believe there is a degree of shame attached to asking providers for help if they fall into debt.
https://www.credit-connect.co.uk/headline/quarter-of-customers-happy-to-share-personal-debt-data/
unknownx500
