A recent survey found that Canadians are seriously stressed about their finances, financial institutions, and financial futures.
The survey, conducted by Meridian Credit Union, found that younger generations increasingly feel discouraged by the cost of living. The survey found 71 per cent of millennials – born between the years of 1981 and 1996 – agree that it is becoming more difficult to make ends meet. Additionally, 63 per cent feel as though their lifestyle has become unaffordable, and 82 per cent agree that the average Canadian citizen “can’t get ahead in this economy.”
“Our More Than a Number study goes beyond the confines of traditional surveys to give Canadians an opportunity to express their financial outlook in their own words,” Matthew Seagrim, chief digital and marketing officer at Meridian, said in a press release Tuesday.
“It reveals that Canadians want to develop a more personal relationship with their financial institution as they seek advice to navigate a challenging economy.”
Additionally, the survey found their younger counterparts had similar feelings. Over 60 per cent of Generation Z – those born between the years of 1997 and 2012 – feel anxious, panicked and uneasy about money, with three quarters of their population struggling to make ends meet.
Younger generations also said that they “don’t know enough” about financial planning, and would like more access to better financial guidance.
Canadian women were found to be drastically more likely to stress about their finances. According to the survey, 40 per cent of women are more likely to worry about their financial future, compared to a mere 14 per cent of men.
“These findings come at a time when Canadians are feeling significant financial pressure, despite easing interest rates,” the report reads in part.
The survey results also come amid broader AI enthusiasm within the Canadian banking sector.
Last month, Bloomberg News reported plans for the Canadian Imperial Bank of Commerce (CIBC) to hire over 200 employees to expand its use of generative AI through things like a pilot program using a “Chat-GPT-like interface” to assist employees with answering customer questions.
The survey found that the majority of Canadians prefer working through their most serious financial concerns with a human employee, rather than AI. In addition, two in three Canadians fear losing their “human connection” with their bank due to the rise in AI.
“…Three in five (61 per cent) Canadians feel their banking doesn’t know them on a personal level, while close to half (46 per cent) are looking for a more personalized banking relationship,” the report states.
“Additionally, despite the rise of technical innovation in digital banking, many Canadians (87 per cent) still feel the need to feel that they can work through their most serious financial problems with a real person and not AI.”
Aside from AI, one in six Canadians feel the need for more competition in the banking industry to help create more services and reduce fees.
Methodology:
The survey, conducted by Meridian Credit Union, included answers from over 1,500 Canadians over the period of July 2 to 6, 2024. It included several open-ended questions with data weighed on age, gender, and region according to 2021 census figures.
-With files from Bloomberg News