Hot Topics     Home and Family    

Is your wallet recession-proof?



Steps you can take to safeguard your credit

Safeguard your credit

As inflation continues to put a strain on budgets, talk of an upcoming recession has Americans worried about their finances. Prices on everyday items continue to rise and consumers are trying to find ways to make their dollar stretch further while safeguarding their money against the potential challenges a recession may bring. The future may be difficult to predict, but preparing now can help consumers protect their financial health during a recession.

A recent Experian survey found that two in three U.S. adults are concerned about a recession occurring in the United States. Consumers are most worried about the affordability of routine expenses, with 73% concerned that the price of everyday items like gas, groceries and rent will continue to rise to a level they can’t afford. Meanwhile, 55% harbor supply chain concerns and 38% are stressed about the affordability of big, planned purchases such as a home or a car.

As recession worries grow, more Americans are sizing up their finances to see where they stand. Only 48% are confident that they can financially handle a recession, and two in five believe that they’ll need to rely on credit to cover essential and unexpected expenses over the next three months. In fact, 27% have already increased their credit card debt within the past three months. This trend is accompanied by additional anxieties: two in three survey respondents are concerned to some degree that their credit score will negatively affect their ability to access credit in the next three months.

Being proactive is key to weathering financial storms, yet less than half of consumers have prepared for a recession when it comes to their finances and credit. Those who have are finding different ways to do so: 49% have cut non-essential expenses like entertainment and vacations, 45% have created a budget and 40% have paid down debt.


While these are effective actions, there are other steps consumers can take to understand their credit history and safeguard their credit.

Consumers should check their credit report and credit score regularly to know exactly where they stand in the event that they need to apply for credit, or simply to be better informed as they prepare to pay down their debt ahead of an economic decline. They can get a free credit report and credit score from Experian (Spanish-language credit reports are also available) as well as access to free financial tools, an auto insurance shopping service and credit card marketplace.

Those who need help increasing their credit score can sign up for Experian Boost. This free feature enables consumers to add their monthly payments for cell phone bills, utility bills, rent and video streaming services to their credit history to potentially increase their FICO Score instantly. To learn more, visit experian.com/boost.

“Inflation and recession fears are putting pressure on consumer’s finances, but proactively planning for the worst can help consumers make it through potential challenges. Many consumers are already taking great steps to prepare, like creating a budget and paying down their debt, and we encourage them to utilize other available resources and tools to help,” says Rod Griffin, senior director of Public Education and Advocacy at Experian.

(StatePoint) 
PHOTO SOURCE: (c) torwai / iStock via Getty Images Plus


Other articles by HVP News Reporters


  • 4 ways to promote positive maternal mental health

    It's important to take good care of yourself

    The joys of raising and nurturing a baby are practically endless for new parents, yet there remain challenges to overcome. While it may be natural to focus attention and energy on caring for a new baby, it’s equally important for mothers to maintain their own mental health. read more »
  • Foot and ankle safety tips for the summer months

    7 facts you need to know

    From the beach to the backyard, taking care of your feet and ankles in summer is essential. read more »
  • Donate plasma to save lives this summer

    It's a meaningful way to give back to your community

    Plasma donation is an impactful, meaningful way to give back to your community this summer. By donating plasma, you can help people like Machelle Pecoraro. read more »
  • Reinvigorate your plant collection

    Annual Master Gardener Program Great Plant Swap and Sale

    The Annual Cornell Cooperative Extension of Ulster County’s (CCEUC) Master Gardener “Great Plant Swap & Sale” Returns on Saturday, June 10, 2023 at the Forsyth Park Pavilion, 157 Lucas Avenue in Kingston. The proceeds benefit the Dominic Parise Master Gardener Scholarship. read more »
  • 5 garage safety tips

    Make sure everything is secure and functioning properly

    When you throw open the windows, you’ll likely be spending more time with the garage door open, too. Make access to your outdoor equipment safer with these tips to get your garage ready for the warmer months. read more »
  • 7 vegetables to grow easily in your home garden

    All you need is a little time and effort

    Growing fresh, healthy vegetables at home may not be as hard as it sounds. Novice gardeners just need good dirt, easy plants to grow, lots of sunshine and the right amount of water. read more »
  • 7 budget-friendly gardening hacks

    Tricks to help you create a cost-effective garden

    Gardening can be a simple way to beautify your yard, relieve stress and save money on your grocery bill, but like any hobby, you can get carried away buying necessary equipment. read more »
  • 2023 I Love My Parks Day Events

    Volunteer with your family to clean up a local state park

    I Love My Park Day is an annual event that brings together thousands of volunteers to enhance and celebrate New York's amazing parkland. read more »
  • Spinach and artichoke stuffed mushroom caps

    Simple, easy and delicious

    Bringing an element of elegance to your holiday celebration is easy when you start with party-pleasing ingredients, and great tasting food often starts with dairy. read more »
  • Parmesan crusted chicken

    Super easy to make

    Not only is this Parmesan Crusted Chicken dish delicious, it is super simple to make. read more »