News & Press

Poster presentation: Psychographic field study of prime and subprime consumers (2)

We presented at the Boulder Summer Conference on Consumer Financial Decision Making, a meeting devoted to interdisciplinary work about understanding and improving household and consumer financial decision making. Participants included financial regulators, academic scientists, nonprofit leaders, and private sector experts.

Total US consumer indebtedness is $11.3 trillion and one in seven consumers has an account in collections. Nevertheless, very little psychological or mechanistic data exist concerning financially stressed consumers, despite growing interest by policy makers, business leaders, and researchers. Building on our previous work, we presented additional data contrasting prime and subprime consumers across a broad range of individual difference measures.

From the lab to the boardroom: Using applied psychological research to improve collection models and the consumer experience

We recently completed a psychographic field study that revealed significant differences between prime and subprime consumers in the areas of financial knowledge, planning myopia, and decision-making behavior. Our results have important implications about how to describe, understand, and resolve consumer financial distress within the collection process. We discuss our findings and explore applications to business strategy and public policy.