Drivers of financial well-being in socio-economic deprived populations

This paper draws on qualitative and quantitative data from social housing tenants in Ireland, exploring how the subjective experience of financial well-being can be understood, and correlating this experience to behavioural and contextual factors. The findings suggest that despite working within tight budgeting constraints, residents are self-disciplined in living within their means, put aside money for unplanned expenditure, and “do without” when money runs out. Residents are using mobile phones predominantly to shop and check bank balances, with online banking used to access traditional payment instruments (e.g. Direct Debits) for fixed outgoings, to receive incoming revenue and to save. There is little evidence that residents get value from personal finance management tools. Instead, we conclude that financial well-being is a set of behaviours, necessitating self-discipline and control to avoid unsustainable indebtedness. The design of financial services should take the lived experience of citizens into account, in particular promoting resilience through savings instead of credit.