By Fran O’Rourke – KeyBank Capital Region Market President
The economic uncertainty of the past few years has taken a toll on Americans’ financial confidence. While the economy is showing signs of recovery, many Americans remain concerned about their personal financial outlook. According to KeyBank’s 2025 Financial Mobility Survey, Americans are already actively making progress toward their financial goals, in spite of any self-doubt.
While half (50%) of consumers are feeling stressed about their current financial situation, nearly the same percentage (45%) are certain they could come up with $2,000 if an unexpected need arose within the next month — and over a third (34%) say they could even come up with $5,000 if needed.
As the economy continues to improve, now is the perfect time to reassess financial habits and set new goals to better position ourselves financially. Discover key insights into how Americans are managing their personal finances – including their challenges, priorities, and strategies – to inform your financial decision-making and build a more confident financial future.
Strategic Shifts to Navigate Financial Challenges
The new year offers an opportunity to reassess our financial goals and implement strategies to achieve them. We’ve learned that despite economic stressors, Americans are demonstrating remarkable resilience as they adapt to evolving conditions and find innovative ways to secure their financial future:
Debt Becomes a Top Priority: To address their debt situation, nearly one-third of Americans (27%) are prioritizing paying off debt over saving, and 40% of consumers have reduced non-essential expenses to position themselves better financially.
More Confident Than They Think: 87% of Americans are confident they can pay their rent or mortgage each month, and 70% are confident they can pay off their credit card.
Reaching Debt Milestones: Collectively, Americans now owe a record $1.14 trillion on their credit cards according to the latest report on household debt from the Federal Reserve Bank of New York. While concerns about debt linger, 44% of Americans say they do not have credit card debt.
Four Tips for Building a More Confident Financial Future
Perform an honest assessment of your finances. KeyBank’s survey found that 42% of Americans would rather perform stand-up comedy at an open mic night than have their credit card statement read aloud at a family dinner. However, your financial history is not something to avoid; rather, it’s a tool that offers valuable insights into your financial health. Take a look at your spending habits and let them guide your financial decision-making.
KeyBank’s Financial Wellness Center can help you understand your current financial standing and the next step of your financial journey.
Align your financial priorities with your long-term goals. Thinking ahead and planning for the future is essential to ensuring you’re setting yourself up for financial success. More than half (54%) of Americans are not confident in their ability to contribute more to a retirement account (e.g., 401(k) or IRA), and 63% are not confident in their ability to take on a mortgage. Assessing your current financial situation honestly allows you to identify your key priorities, whether that includes paying off debt, building an emergency fund, or saving for a home. With a clear goal in mind, you can build a well-defined financial plan around it and turn your aspirations into reality.
A Financial Wellness Review with a banker at your local KeyBank branch can help get you started.
Treat financial education as a friend. It’s easy to feel overwhelmed by financial planning, so don’t be afraid to ask for help. In fact, Americans say that financial information (51%), digital banking tools (42%) and advice from a financial advisor (37%) are helping them feel more financially resilient moving into the new year. From online tools to connecting with a financial professional, countless resources are within reach to support you on your financial journey.
Celebrate your financial progress. It’s understandable to feel stressed about your personal finances during uncertain times. But if you’re taking proactive steps to manage your finances by regularly reassessing and adjusting your financial strategies, you’re on the right track. Don’t forget to take time to celebrate your progress, because you might be doing better than you think.
Our experts at KeyBank are here to support you at every step of your financial journey, from planning to celebrating your success.
About the author: Fran O’Rourke is President of KeyBank’s Capital Region Market. She may be reached at either 518-257-8733 or [email protected].
About the KeyBank 2025 Financial Mobility Survey: This survey was conducted online by Schmidt Market Research in September 2024, polling 1,000 Americans, ages 18 – 70, with sole or shared responsibility for household financial decisions, who own a checking or savings account. The survey sought to gain insight into financial resiliency and explored respondents’ spending and savings habits, levels of financial confidence and financial resiliency, economic sentiment, and impacts of societal trends and pressures over the prior year.
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Benefits of a Financial Consultant
Working with a financial consultant can provide several benefits for those who want to take control of their finances.
What do financial consultants do?
Financial consultants assist individuals and businesses in managing their finances by providing expert guidance about investments, retirement planning, estate planning, and risk management. Their primary goal is to help clients make informed decisions to achieve their financial objectives.
5 Benefits of Working with a Financial Consultant
Financial consultants have the expertise and knowledge to provide personalized advice to your specific financial situation and goals. Here are some reasons to consider working with a financial consultant:
1. Financial Expertise
They’re trained professionals with in-depth knowledge specialized in your financial interests.
2. Personalized Financial Advice
You receive tailored advice that aligns with your unique financial goals and circumstances.
3. Investment Management
They can help you develop and manage a personalized investment analysis to optimize your portfolio based on your objectives.
4. Retirement Planning
Get help developing a customized retirement plan that optimizes your savings for a comfortable lifestyle during retirement.
5. Estate Planning
They can help ensure that your assets are distributed according to your wishes and provide financial security for your loved ones.
Do I need a financial consultant?
Financial consultants can be helpful in complex financial situations, offering an objective perspective for individuals with time constraints or those who desire a fine-tailored financial plan.
When should I consult a financial consultant?
You should consider speaking to a financial consultant if you are facing complex financial decisions; significant life changes like marriage, starting a family, or retirement planning; or when you need help managing your investments effectively. Make sure that you choose a financial consultant who specializes in the areas you find most important.
How often should I meet with my financial consultant?
This depends on your individual needs and goals. However, it is a good rule of thumb to meet with your financial consultant at least once a year to review your finances and make any necessary adjustments. During these meetings, you can discuss any changes to your financial situation, review your investment performance, and make changes as you see fit.
You may want to meet with your financial consultant more frequently, especially if you experience a major life change like marriage, divorce, or the birth of a child. Similarly, if you experience a significant change in your income or expenses, it may be helpful to meet with your consultant to discuss how these changes will impact your finances.
It’s important to communicate with your consultant regularly and to schedule meetings as needed to ensure that your plan remains on track.