57% of Canadians Say Household Income Negatively Impacted by COVID-19
TransUnion unveils research assessing pandemic’s effect on consumer finances
Nearly three out of five Canadians (57%) said their household income has been negatively impacted by the COVID-19 pandemic. The newly released research from TransUnion (NYSE: TRU) found that an additional 10% of Canadian adults said they expect their household income will suffer in the future.
Alberta (63%) and Saskatchewan (67%) were the provinces which reported the highest percentage of household incomes negatively impacted – with both already dealing with economic shocks before COVID-19 as a result of oil price declines.
TransUnion has initiated a survey of adults in Canada and abroad to better understand the financial impact of COVID-19 on consumers. The survey (commenced March 31, 2020) of 1,064 adults marked the first for the country in what will be an ongoing series. Additional details as well as resources for consumers looking to minimize the potential negative impact of the pandemic on their credit, and access to self-serve, educational materials can be found at https://www.transunion.ca/covid-19.
“Whether it’s their health, financial well-being or changes in day-to-day living, the lives of millions of people in Canada and abroad have been dramatically changed. The situation is evolving at an incredibly fast pace and we need to come together as a nation to solve the unique problems and situations that arise,” said Todd Skinner, TransUnion Regional President for Canada, Latin America and Caribbean. “The aim of our weekly consumer research is to better understand the financial impact of the COVID-19 pandemic and better inform consumers, businesses and government decisions during these unprecedented times. It is important that businesses and consumers are able to continue to transact with confidence and we will do everything in our power to help facilitate the provision of lending and commerce during these uncertain times.”
TransUnion’s research found that the youngest generations, particularly Millennials (those born 1980 to 1994) and Gen Z (born from 1995 onwards), felt most impacted financially by the COVID-19 pandemic. While 70% of consumers who have had their household income impacted by COVID-19 are concerned about paying their bills, this increased to 78% for Millennials and 74% for Gen Z. On average, Canadian respondents said they will be short about $935 in the near future.
“Our focus is on supporting Canadian consumers, businesses and the wider economy as a whole. We know this is an extremely difficult time, and we’re committed to helping people navigate any financial hardship caused by the COVID-19 pandemic. Consumers are facing many unexpected challenges and it’s natural that people are concerned about their finances. It’s really important that there is a dialogue between businesses and their customers at this time of uncertainty. Equally, we encourage consumers looking to minimize potential negative impacts of the pandemic on their credit to visit TransUnion’s COVID-19 website,” concluded Skinner.
TransUnion’s research and credit education tools will be updated weekly on its COVID-19 website as the company continues to support consumers and businesses from around the globe.
TransUnion is a global information and insights company that makes trust possible in the modern economy. We do this by providing a comprehensive picture of each person so they can be reliably and safely represented in the marketplace. As a result, businesses and consumers can transact with confidence and achieve great things. We call this Information for Good.® TransUnion provides solutions that help create economic opportunity, great experiences and personal empowerment for hundreds of millions of people in more than 30 countries. Our customers in Canada comprise some of the nation’s largest banks and card issuers, and TransUnion is a major credit reporting, fraud, and analytics solutions provider across the finance, retail, telecommunications, utilities, government and insurance sectors.
For more information visit: www.transunion.ca