Hand-To-Mouth: HALF Of All Americans Wouldn’t Be Able To Write A $500 Check
- Alan Colberg, CEO of Assurant, said half of Americans can't afford $500 check
- His comments echo a recent survey by Bankrate which suggested 57 percent of Americans are living a hand-to-mouth existence
Half of all Americans cannot afford to write a $500 check in an emergency, according to one of the country's top businessmen. The CEO of Assurant, Alan Colberg, made the remark on Bloomberg TV when he was discussing the cost of smartphones.
He said: 'If you think back five years ago, you as a consumer didn't know how much that phone cost, you thought it was free or close to free.
'Now you're paying $600, that's a lot.'
He then added: 'The reality is, half of Americans can't afford to write a $500 check.'
Colberg was of course pushing the smartphone insurance plans that his own company specialize in.
He said many people were willing to pay insurance to protect their phone if they lose it or something happens to it.
But his comments emphasize how many Americans are living a hand-to-mouth existence, being either overdrawn or having little or no money in their checking accounts. Some do not even have bank accounts.
Despite the economic recovery over the last eight years many Americans are living paycheck to paycheck.
A recent survey of 1,000 adults by Bankrate found 57 percent of Americans do not have enough cash to cover a $500 unexpected expense.