Occasional Paper No. 58: Understanding consumer financial wellbeing through banking data

In this paper, we aim to better understand consumer financial wellbeing through survey responses, analysis of banking data and the objective factors most closely associated with money management stress. 

Occasional Paper No.58 (PDF)


Within this paper, we integrate two approaches: investigating the relationship between subjective financial wellbeing, measured by self-reported responses of survey respondents, and objective financial wellbeing, measured by the same respondents’ bank account data.

Our objective is to better understand how differences in financial wellbeing change with the objective state of their finances. We investigate potential indicators of low subjective wellbeing such as:

  • demographics
  • average balances
  • use of credit
  • digital banking usage patterns
  • the role of volatility in spending, income and account balances

The findings show, firstly, our measure of subjective financial wellbeing can be used to quantify the psychological impact of changes in objective financial wellbeing. Secondly, that data derived from consumers’ bank accounts with their consent can be used to identify consumers with lower financial wellbeing. Finally, that our findings on financial volatility raise questions for further research on the metrics of irregular income or expenditure.


Joe Gladstone, Jeroen Nieboer and Karthik Raghavan


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