How transaction data and personalised insights can help your customers through the cost of living crisis

In today's world, it's becoming increasingly difficult for customers to stay ahead of their finances. With the cost of living increasing, it's becoming more challenging for customers to predict what their next month will look like. At Bud, we believe that financial decisions should be simple. That's why we turn transactional data into personalised actionable insights that empower customers to take control of their finances.

Subscriptions

One area that can impact customer finances, especially during the cost of living crisis, is subscriptions. For example, did you know that UK households spend an average of £50 per month on paid-for subscriptions? That's equivalent to £600 per year, with 32% spending as much as £50 to £300 per month.

Using Bud's aggregated view of subscriptions and cost increases, you can prompt your customers to cancel unneeded subscriptions and reduce spending, enabling them to gain a better view of their finances.

Here’s an example of how you can use our data to tell your customers about their spending patterns: "£100/mth on subscriptions. That’s 12% of your non-essential expenses. Manage your subscriptions now to see if you could save."

Debt and refinancing

Another area of concern for your customers may be debt and refinancing. As the cost of living increases, customers may have to put essential expenses like utility bills or groceries on their credit card to get them through the month. However, if the credit card balance is carried over each month, customers are at risk of building up high-cost debt and paying interest charges that may put them into financial hardship. 

Intervene early using spending patterns and credit utilisation data to highlight opportunities for your customers to get back on track.

We can offer insights that enable you to tell your customers about such opportunities, encouraging them to refinance and spread costs: "Essential spend on credit has increased by 50% compared to this time last month. Apply to refinance and spread costs."

Spending insights

Lastly, awareness of spending is crucial for your customers. With the cost of living crisis increasing the prices of goods and services, it can be difficult for customers to know where the biggest increases are coming from and to identify what steps they can take to reduce spending. 

Encouraging customers to aim for the 50:30:20 budget rule, you can highlight and notify them of where they could potentially cut back on spending and direct this to savings: "You’re spending £1,250 a month on living costs, £300 on takeaways and £100 on savings. Save more with a budget."

Data-driven insights for financial wellbeing

At Bud, we believe everyone should be provided with tools that help them understand their financial position and the steps they can take to build resilience.

We're here to make every financial decision simple by turning transactional data into rich customer insight, and help you provide the next generation of financial experiences to your customers.

Using Bud's data to provide personalised actionable insights, you can empower your customers to make the right financial decisions, take control of their finances, and achieve financial wellbeing. Get in touch to find out how.