Americans Shift to Financial Defense Mode as Economic Pressures Mount — Securian Financial Group, Inc.

Event summary

50% of borrowers with active loans could only sustain payments for three months or less if they lost income.
Only 22% of borrowers have purchased loan payment protection products, despite widespread recognition of their value.
90% of respondents would stay with a financial institution long-term if a loan payment protection product helped them through hardship.

The big picture

Securian Financial's study highlights a broader trend of financial vulnerability among U.S. households, as rising costs and economic uncertainty push consumers from goal-oriented planning to defensive strategies. The findings align with New York Federal Reserve data showing worsening household credit troubles at the end of 2025, signaling ongoing financial strain that presents both challenges and opportunities for financial institutions to strengthen trust and support.

What we're watching

Product Adoption: Whether lenders can bridge the gap between consumer recognition of loan payment protection value and actual adoption rates.
Generational Trust: How financial institutions will tailor trust-building strategies to different generational expectations, from digital convenience for Gen Z to transparency for Boomers.
Industry Response: The pace at which lenders integrate payment protection into broader financial support ecosystems, including hardship assistance and wellness resources.