New Study Shows Financial Imposter Syndrome Fuels Consumer Anxieties

One-third of Americans feel daily anxiety due to debt, but are closer to their money goals than financial stress indicates

CLEVELAND, Jan. 14, 2025 /PRNewswire/ -- Financial imposter syndrome refers to the self-doubt many people feel when it comes to their financial skills and money moves versus the actual reality of their financial picture. While Americans report they currently feel financial stress, KeyBank's annual Financial Mobility Survey, released today, found that Americans are closer to their personal financial comfort goals than they may realize. 

KeyBank found that, though many Americans are feeling anxious that they're falling financially behind, they do have solid plans for their finances and are making the right money moves. While half (50%) of Americans say they feel financial stress, 45% of respondents are certain they could come up with $2,000 if an unexpected need arose within the next month.

The survey polled more than 1,000 Americans to gain insight into respondents' spending and savings habits, levels of financial confidence, stress, resiliency, economic sentiment, and the impacts of debt. 

Financial imposter syndrome survey highlights include:

• Americans are stressed about debt: 33% say they often feel stressed or anxious about their debt situation. Yet, 2 in 5 (37%) say they need to pay down less than $5,000 to relieve this stress. By the same token, 34% of Americans say they are confident they could come up with $5,000 if they needed to.
• Despite stress, most Americans are meeting their monthly payments: 70% are confident they can pay off their credit card every month and 87% are confident in meeting monthly rent or mortgage payments. Moreover, 44% of Americans say they do not have credit card debt. 
• Gen Z grows confident: Even though 63% of Gen Z respondents feel financially stressed, nearly three in four (73%) report they're moving closer to having enough to live comfortably.
• Homeownership continues to feel unattainable for most: 46% of respondents who do not own a home say that homeownership is not attainable for their families, up from 39% last year. However, to help combat that, 23% of survey respondents say understanding special purpose credit programs would increase their confidence in homebuying. 

"Despite having solid strategies in place and the economy showing signs of recovery, Americans still feel a pervasive sense of scarcity and insecurity when it comes to their financial well-being," said Daniel Brown, EVP & Director, Consumer Product Management at KeyBank. "This mindset often doesn't align with their actual financial health, which is stronger than they perceive it to be. As a financial partner, we empower our clients to help them bridge this gap, see their true financial potential, make decisions with confidence, not fear, and take pride in the steps they have taken along their journeys."

Americans Seek Money Breaks to Meet Financial Goals

While many are managing their day-to-day finances effectively, Americans are seeking those "big money breaks" that could shift their financial mindset and unlock long-term goals. More than half (68%) of Americans say they need more money to live comfortably, and nearly half (45%) are less than $2,500 per month away from reaching that comfort goal. For some, this could mean taking on a second job or side hustle to close this gap. Still, just over half (54%) of respondents say they are moving closer to this goal and 32% say they already live comfortably.

"For many families, $2,500 a month isn't just a number – it's a meaningful milestone that can represent real transformation," said Brown. "We recognize that financial comfort looks different for everyone, and there's no one-size-fits-all approach to setting and reaching financial goals. The first step in the right direction is to assess your budget so that any goals you set and steps you take are meaningful, purposeful, and specific to you, rather than anyone else's definition of success."

Despite this, many Americans still struggle with long-term goals - and homeownership is at the top of the list. 63% say they are not confident in their ability to take on a mortgage and 54% say they are not confident they can contribute more to a retirement account (e.g., 401(k) or IRA). Accomplishing short-term goals, such as creating and sticking to a budget, is a significant step in building financial resiliency for the long term. 

As Americans increasingly aim to strike a balance between personal fulfillment and overall financial well-being, consumers can access KeyBank's online resources designed to enhance financial confidence and savvy, including the Financial Wellness Center's Banking 101 curriculum, or meet with a local banker to complete a Key Financial Wellness Review to better understand their financial situation, chart the best path forward and conquer any financial imposter syndrome they may be experiencing.

To learn more about the survey's findings, visit the KeyBank 2025 Financial Mobility Survey Executive Summary here:

• https://www.key.com/content/dam/kco/documents/personal/2025_financial_mobility_survey.pdf

Methodology
This survey was conducted online by Schmidt Market Research, including1,000 Americans, ages 18-70, with sole or shared responsibility for household financial decisions, who own a checking or savings account, who completed the survey in September 2024. The survey asked respondents about their financial attitudes, understanding, awareness and actions over the prior year.

About KeyCorp
KeyCorp's (NYSE: KEY) roots trace back nearly 200 years to Albany, New York. Headquartered in Cleveland, Ohio, Key is one of the nation's largest bank-based financial services companies, with assets of approximately $190 billion at September 30, 2024. Key provides deposit, lending, cash management, and investment services to individuals and businesses in 15 states under the name KeyBank National Association through a network of approximately 1,000 branches and approximately 1,200 ATMs. Key also provides a broad range of sophisticated corporate and investment banking products, such as merger and acquisition advice, public and private debt and equity, syndications and derivatives to middle market companies in selected industries throughout the United States under the KeyBanc Capital Markets trade name. For more information, visit https://www.key.com/. KeyBank Member FDIC. 

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SOURCE KeyBank