Manila, Philippines, July 8, 2026 – Filipino consumers remain broadly optimistic about their financial future, but rising living costs are increasingly reshaping how households spend, save and borrow. The Q2 2026 Consumer Pulse Study by TransUnion (NYSE: TRU) shows that while the majority continue to expect their household finances to improve in the coming year, confidence is being tempered by inflation and ongoing uncertainty surrounding the broader economic environment.

Optimism Broadly Holds, but Affordability Pressures Keep Households Cautious

Household income was broadly stable this quarter. While slightly below the 41% seen in Q2 2025, more than one-third (38%) of consumers still reported an income increase over the past three months. Meanwhile, 43% saw no change and only 19% experienced a decline, suggesting that although momentum has eased, overall, the majority of households are not slipping backward. Looking ahead, expectations for earnings remain strong, with 74% anticipating income growth over the next 12 months – more than the 73% recorded a year ago. This resilience continues to underpin a positive financial outlook, as 74% of consumers expressed optimism about their household finances in the year ahead.

Despite this optimism, signs of financial strain persist. Inflation remains the top concern, cited by 84% of consumers in their top three biggest worries affecting household finances in the next six months, and will likely persist as the pass-through effects of the oil price shock materialize. Other key pressures on household finances include job security (54%) alongside recession and interest rates (both at 44%). While data from the Philippine Statistics Authority (PSA) show inflation easing from 7.2% in April to 6.8% in May 2026, the May rate remains among the highest for that month since 2021¹. Affordability pressures are evident, with TransUnion’s research showing nearly half of consumers (45%) expecting to be unable to fully pay at least one of their current bills or loans, slightly up from 44% in Q2 2025.

“Filipino households are entering the second half of the year optimistic but clear-eyed. They expect their incomes to stay resilient, which keeps confidence broadly intact – yet they feel the weight of inflation on everyday costs, such as rice prices, and uncertainty over upcoming financial commitments amid broader global economic headwinds,” said Weihan Sun, senior director of research and consulting for Asia Pacific at TransUnion.

Spending and Saving Grow More Cautious, with Rising Reliance on Credit

In the face of persistent inflation and rising living costs, households are responding with deliberate caution – prioritizing essential spending and actively adjusting budgets amid ongoing cost pressures. Over half (55%) of consumers reported reducing discretionary spending like dining out, travel and entertainment in the last three months, up from 47% in Q2 2025. At the same time, they reported strengthening financial safety nets: 49% added to their emergency savings, up from 45%, while fewer (8%) drew on retirement funds, down from 12% a year ago.

As part of this shift, consumers are also balancing financial resilience with a growing reliance on credit. Reported use of available credit in the last three months rose to 17% from 15% last year, and looking ahead, 51% expect their bills and loan payments to increase over the next three months, slightly more than 49% in Q2 2025.

“Across these behaviors – from trimming discretionary spending to building savings while leaning on credit more selectively – what stands out is how intentional these choices are. Filipino households are not simply responding to pressure, but prioritizing what matters and being deliberate with every peso, using credit with intention to smooth day-to-day cash flow and bridge spending gaps. This shift toward more active financial management is an encouraging sign of growing financial maturity,” added Sun.

Credit Demand Stays Strong, but Cost and Eligibility Barriers Stall Follow-Through

As reliance on credit increases, it remains central to how Filipinos achieve their financial goals: more than half (58%) see access to credit and lending products as extremely or very important, unchanged from Q2 2025. At the same time, accessibility remains steady, with 44% reporting sufficient access – which is also consistent with a year ago – although almost one-quarter (24%) disagree.

Credit appetite stayed high, with nearly half (48%) of Filipino consumers planning to apply for new credit or refinance existing credit in the next year. Among those who said they would apply, growth is driven by everyday products such as personal loans, rising from 45% in Q2 2025 to 52%, and credit cards, increasing from 31% to 35%. In contrast, demand for mortgages softened to 12% from 17% a year earlier.

Despite robust interest in credit, many consumers continue to encounter obstacles along the borrowing journey. Three in five (60%) of those who considered credit applications abandoned their plans, up from 57% a year ago. The primary reason for abandoning applications was the cost being too high (35%), followed by finding an alternative funding source (32%) and income or employment status (28%).

“More Filipinos are turning to credit for the flexibility it offers, especially in uncertain times. However, when six in ten of those who considered borrowing walk away from a credit application, the issue is more friction than intent. The opportunity for lenders is to make credit more inclusive, so responsible borrowers are not lost to cost, complexity or eligibility barriers, while consumers can play their part by maintaining healthy credit habits. That is how we turn credit access into lasting financial resilience,” said Sun.

TransUnion's Consumer Pulse Study surveyed 961 adults from April 29 to May 19, 2026. This quarterly survey examines shifting consumer attitudes and behaviors based on the dynamics of income, debt, and identity theft. Respondents ranged from Gen Z, 18-29 years old; Millennials, 30-45; Gen X, 46-61; and Baby Boomers, age 62 and above. By capturing insights across generations and financial situations, the study helps promote greater financial inclusion by informing policies, products and education efforts that meet the evolving needs of all consumers.

For more information, please view the full report of the TransUnion Q2 2026 Consumer Pulse Study.

¹ Summary Inflation Report Consumer Price Index, May 2026, Philippine Statistics Authority

Manila, Philippines, December 11, 2025 – Filipino households are closing 2025 on firm financial footings, navigating a still-shifting economic environment with a blend of optimism and restraint. The Q4 2025 Consumer Pulse Study by TransUnion (NYSE: TRU), shows that while consumers continue to feel the pressure of daily expenses, they are adapting with a more deliberate approach to both spending and credit use.

Income stability remains a defining theme this quarter. Over two in five consumers (42%) reported an income increase in the past three months, while 41% saw no change, suggesting that while momentum has eased, households are not slipping backward. More importantly, consumers are looking ahead with confidence.

Three in four Filipinos (75%) expect their income to rise over the next 12 months and eight in ten (80%) are optimistic about their household finances for the year ahead. Together, these trends reflect a picture of resilience and steady control. Filipinos are learning to operate within tighter margins, managing pressures without losing confidence in their financial trajectory.

Cautious spending reflects a balanced mindset

Even with improving sentiment, caution remains the dominant feature of household spending. Inflation for everyday goods continues to be the top concern (81%), followed by job stability (57%) and interest rates (45%) — the same priorities Filipinos have held since 2024. This consistency suggests that consumers are budgeting with long-term challenges in mind, not short-term shocks.

Spending behavior also reflects this balance between confidence and caution. Nearly half (47%) of households have scaled back discretionary activities such as dining out and travel. One in four (25%) cut back on digital services, while another quarter (25%) dropped subscriptions or memberships altogether. Half of Filipinos (50%) also expect to spend less on holiday shopping compared to last year, showing more deliberate spending even during traditionally high-consumption periods.

Looking ahead, consumers expect further shifts in their cost structure: 47% foresee rising bills and loan payments next quarter, 42% expect medical costs to increase, and 36% anticipate higher retail spending. Yet, only a minority (27%) plan to increase spending on large purchases like appliances or vehicles. In essence, instead of pulling back from economic activity, Filipinos are redefining what “smart spending” looks like in a high-cost environment.

“The trend mirrors the wider economy — still expanding, but at a calmer pace after two years of rebound,” said Weihan Sun, principal of research and consulting for Asia Pacific at TransUnion. “Consumers are managing spending more pragmatically, especially with Filipinos looking to spend less this holiday season compared to last year. It’s a sign of practical optimism. People are still participating in the economy but are doing so on their own terms and with greater financial intent.”

Credit access remains stable as borrowing becomes more intentional

As households stabilize their finances, their attitudes toward credit are evolving. While close to three in every five Filipinos (58%) say access to credit is very important for achieving their financial goals, this marks a slight dip from the same time last year, hinting that consumers are depending less on borrowing for immediate needs and more for deliberate, planned financial actions.

Confidence in credit access remained steady with 42% saying they have sufficient availability. Gen X (47%) and Millennials (46%) remain the most confident. However, the more significant shift lies in how people choose to borrow. Intent to apply for or refinance credit fell to 47% from 53% last year, and most planned borrowing now leans toward smaller, more flexible products such as personal loans (49%) and buy now, pay later (BNPL) (35%) arrangements.

Even abandoned applications reduced, dropping to 56% from 64% last year, though high borrowing costs (31%), possible rejection due to income or employment status (28%), and lengthy processing times (24%) still create friction. Overall, the data paints a maturing market: credit remains available, but Filipinos are making decisions with more scrutiny and financial self-awareness than before.

“We’re seeing a real shift in how Filipinos view credit. It’s moving from being a necessity to becoming a choice,” added Sun. “Credit remains available, but consumers are weighing their options more carefully, guided by how secure they feel about their jobs and savings. It’s a more thoughtful use of credit as a tool, not a crutch. As this mindset continues to evolve, it’s equally important for consumers to stay informed by regularly monitoring their credit health.”

Empowering Filipinos with accessible credit education

Recently, TransUnion announced its partnership with the Bangko Sentral ng Pilipinas (BSP) to introduce an interactive credit education module on the BSP E-Learning Academy (BELA) to help consumers understand and manage their credit scores. These resources will provide practical guidance on building and maintaining healthy credit profiles, equipping Filipinos with the knowledge to make informed financial decisions. The modules are set to be available starting next year.

This milestone marks the first collaboration between BSP and a credit reference agency on financial education initiatives through BELA in the Philippines, underscoring a shared commitment to financial literacy and inclusion. By delivering accessible, engaging content, the initiative aims to strengthen financial resilience and unlock better opportunities for millions of Filipinos.

“As more Filipinos take a more intentional approach to their finances, ensuring they have the right guidance and support will be key to helping them build long-term financial resilience,” said Sun.

TransUnion’s Consumer Pulse Study surveyed 961 adults from September 25 to October 15, 2025. This quarterly survey examines shifting consumer attitudes and behaviors based on the dynamics of income, debt, and identity theft. Respondents ranged from Gen Z, 18-28 years old; Millennials, 29-44 years old; Gen X, 45-60 years old; and Baby Boomers, age 61 and above. By capturing insights across generations and financial situations, the study helps promote greater financial inclusion by informing policies, products, and education efforts that meet the evolving needs of all consumers.

For more information, please view the full report of the TransUnion Q4 2025 Consumer Pulse Study.

Global information and insights company and the Philippines’ first comprehensive private credit reference agency, TransUnion (NYSE: TRU), today released its latest quarterly Consumer Pulse Study. Findings show that Filipinos are optimistic about their household income but are wary of recession and spending.

Consumer confidence held back by worries over recession and inflation

The majority of Filipinos surveyed (80%) expect their income to increase in the year ahead, and almost three-fifths (57%) say they will be able to repay bills and loans. These findings are buoyed by stronger-than-expected GDP growth and rising employment after the country lifted nearly all COVID-19 restrictions [1].

However, Filipinos are less optimistic about the wider economic outlook, with 42% expecting the country to go into a recession in 2023, up by a significant 15 points from the previous quarter.

“Consumers’ mixed sentiments reflect the complex dynamics facing the Philippines along with many other nations, as the world continues to recover from more than two years of disruptions”, said Amrita Mitra, chief operating officer of TransUnion Philippines. “Filipinos are, on one hand, bullish on their household income on the back of strong growth momentum and a growing job market in the past year. On the other hand, there are also high inflation and rising interest rates seen both domestically and worldwide that will continue to weigh on the national economic outlook and consumer spending.”

Additional study results show that inflation remains the top concern for the fourth consecutive quarter, with 82% being very or extremely concerned about the inflation rate, 3 points higher than last quarter. When asked about how they plan to deal with a potential economic slowdown, around three-quarters of Filipinos plan to cut back on spending (72%) and build up savings (69%). Across generations, the youngest group, Gen Z, appears to have the highest appetite for savings (74%) but the lowest desire for reducing spending (65%). In contrast, Baby Boomers are least keen on savings (49%), and Gen X are the most open to reducing spending (78%).

More consumers look to seek new credit but lack access

Almost all Filipinos surveyed (96%) believe access to credit is important to achieve their life goals, but less than half (45%) say they have sufficient access to credit and lending products.

Surging inflation and price hikes may have given rise to increased consumer demand for new credit. In fact, the percentage of consumers seeking new credit has increased steadily for four quarters in a row, reaching 57% at the yearend, up from 46% at the beginning of 2022.

Among those seeking new credit, personal loans (53%) and credit cards (39%) continue to top consumer credit products. However, rising interest rates appear to be a key factor affecting Filipinos’ decisions on seeking new credit. Close to half the respondents (46%) say that rising interest rates highly impact whether they would apply for new credit, up 8 points from a year ago.

“As the Philippines looks to sustain its growth momentum against the backdrop of global economic uncertainties, the need to advance financial inclusion has never been more vital,” added Amrita Mitra. “Financial inclusion and credit literacy are not merely about understanding credit, but more importantly, leveraging the power to access opportunities made possible by informed financial decisions and responsible lending. This is crucial as consumers in the Philippines build resilience to navigate any economic uncertainties in the year ahead.”

TransUnion’s Consumer Pulse Study surveyed 1,005 consumers in the Philippines during November 3-15, 2022. This quarterly study examines shifting consumer attitudes and behaviors based on the dynamics of income, debt, and identity theft, with respondents ranging from Gen Z (born 1995-2004), Millennials (born 1980-1994), Gen X (born 1965-1979), and Baby Boomers (born 1944-1964). For more information, please view the full report of the Consumer Pulse Study Q4 2022.

 [1] Asian Development Bank, “ADB Forecasts 7.4% Growth for the Philippines in 2022”, December 2022