High Costs, Especially for Homes and Utilities, Have U.S. Consumers Turning to Artificial Intelligence for Financial Advice

• The total share of financially unhealthy consumers in the U.S. rose to 69%
• More than one-quarter (26%) of consumers feel that they are not financially equipped to handle their utility bills, and are leaving an open balance
• Over half of consumers have used an AI tool to get financial advice or information in the last three months

After years of fighting inflation and the rising cost of goods, there has been a huge shift in consumer behavior in America. As the number of consumers in the U.S. classified as financially unhealthy^[1] ticked up slightly to 69%, as measured by JD Power, consumers have begun to change the way they approach not just ancillary spending, but also short-term necessities and long-term investments.

Overall, 45% of consumers say they have reconsidered home ownership in the past 12 months. What’s more, in an effort to keep up with rising price demands, many consumers have dipped deep into their savings. Even after taking these measures, consumers are still struggling to pay for basic needs. In fact, 27% say they have an open balance on their utility bills.

With so many consumers trying to solve this affordability puzzle, it should come as no surprise that many are turning to artificial intelligence as a potential solution. But how reliable is the advice they’re getting?

Financial Health Declines Slightly

In March, the total share of financially unhealthy consumers, defined as vulnerable, overextended or stressed, increased to 69%. That reflects a 1-percentage-point increase from February. 

Affordability Changes Long-Term Goals

With consumer financial health stuck in a malaise, 45% of consumers say they have rethought homeownership in the past 12 months. That includes postponing buying a home until prices decline (12%), postponing buying until interest rates come down (12%), considering renting long-term instead of buying (12%), no longer pursuing home ownership (10%), and adjusting their target price range (9%). Consumers who are financially overextended and those under 40 were the most likely to take these actions.

Consumers also say that they are turning to their savings to keep up with the higher cost of goods. Overall, 21% say they are saving less in past 12 months than have previously and another 26% have used some or all their savings/emergency funds to address rising expenses.

Utilities Headline Short Term Strife

The struggles don’t end with long-term investments and savings. Overall, 26% of consumers say they do not feel equipped to handle their current utility bills. That reflects a 4-percentage-point increase from December 2025. Vulnerable consumers expressed the biggest drop in confidence. What’s more, 27% say they are carrying an unpaid balance on their utility bill, up from 23% in December. 

When asked about the cost of their utilities compared to other products, 26% of consumers say the price of their utilities is increasing faster than the prices of other products and services, up from 19% in December. Financially healthy consumers and those over 40 are most likely to express this opinion.

An AI Solution?

Artificial intelligence has quickly become one of America’s favorite shortcuts. For anything from a cover letter to a restaurant recommendation, Americans are quickly becoming comfortable asking AI to fill in the blanks. And according to JD Power data, financial advice is no different. Overall, 53% of consumers have asked AI for financial advice at least once in the past three months. Healthy consumers and those under 40 were most likely to consult AI. 

When asked what type of advice they’re consulting AI for, 41% of consumers say they asked for saving strategies, 37% say they asked for help with their credit score or credit cards, and 36% say they asked for general financial education. 

Fostering Intelligent Relationships

When there is an information vacuum, conjecture is often what fills it. But in a time of AI ubiquity, that vacuum is starting to be filled by whatever artificial intelligence ends up generating. As their savings get whittled away and their bills pile up, consumers are desperate for answers. Unfortunately, there’s no way to know that the advice they’re getting from random open-source AI can actually be relied upon.

This is where banks need to step in. It is clear that many consumers are struggling to meet their day-to-day cost-of-living expenses, and they are actively seeking help. But just blindly relying on consumer AI chatbots without any kind of personalization or customization can create serious vulnerabilities. Banks have intimate knowledge of their customers’ pain points, and the ability to offer tailored solutions in the form of budgeting plans, financial advice and personalized spending analyses. By using this technology in tailored way to help consumers, banks can harness the power of AI and protect their customers from shooting in the dark with their financial futures.

Find out More

This Banking and Payments Intelligence Report is based on responses from 4,000 consumers nationwide in two separate surveys. The utility data was collected in December 5 to 15, 2025 and then again from February 18 to March 2, 2026.  Banking and payments insights were collected from 4,000 consumers nationwide and was fielded in March 2026. It was authored by Jennifer White, managing director of financial services intelligence at JD Power, and Mark Spalinger, director of utilities intelligence at JD Power. Please contact us at the numbers below to connect with Ms. White or Mr. Spalinger, or to learn more about the underlying research.

Media Contacts
Brian Jaklitsch; East Coast; 631-584-2200; [email protected]

Joe LaMuraglia, JD Power; East Coast; 714-621-6224; [email protected]

[1] JD Power measures the financial health of any consumer as a metric combining their spending/savings ratio, creditworthiness, and safety net items like insurance coverage. Consumers are placed on a continuum from healthy to vulnerable.