Ways to Save Money During the Pandemic That We Didn’t Expect
ByAnna Baluch
UpdatedOct 10, 2025
- Many of us were able to save money during COVID lockdown.
- We saved on commuting costs and recreation and estaurant meals.
- It's a good idea to put that savings toward debt repayment.
The coronavirus pandemic has changed the way we live our everyday lives and how we manage our finances. Thanks to quarantines, work from home, and less travel, many of us have been able to save money in ways we didn’t quite expect.
We asked several of our Freedom team members to share examples of surprising savings, as well as ways they’ve learned to control their expenses and keep more cash in their pockets this year. Hopefully, some of what they share below helps you better manage your finances during the pandemic recession, and beyond.
How We Saved
Because I am driving much less due to our work from home policy, I called up my car insurance provider to ask if there were any savings/discounts I wasn’t aware of, since I’m no longer commuting to work. They let me know I qualified for several discounts that dropped my monthly payment quite significantly!
–Jordan Figueroa, Customer Service SME/FDR Client Experience
Working remotely has given my family savings in a few different ways. Fewer take-out meals and not driving to work, school, or other activities has saved us a ton. Every summer we spent at least $1,000 in summer camps, something we didn’t do this year. Combine that with less money spent on formal office attire, and we have saved a lot of money over the past months.
–Rama Parandekar, Management Analyst
Like so many others, not driving has saved us a lot of money on gas and car upkeep. The surprise savings came when we also realized we could cancel our monthly subscriptions for satellite radio and save on regular car washes. We found more savings since working and schooling virtually mean not having to spend as much on clothing (something a mom thinks is a huge win). Even more surprisingly, seeing the fragility of life in this pandemic has had a silver lining — purchasing life insurance and bundling our insurance plan has saved us over $150 each month.
–Melissa Whitlatch, Sr. Recruiter, Talent Acquisition
It’s a common idea, but the first item that saved us money was the disappearing commute. The next savings came because we were able to pull our kids out of daycare. But maybe most important change in how we managed our finances came from the way we were able to pay attention to our money. Being home allowed us to sit down and review multiple months of spending and take more advantage of our efforts to lower our debts. We found more savings because we don’t eat out very much anymore, and stretch the food we have at home out to multiple dinners and lunches. Our savings are really the result of what we think is a more conscious way of living and spending.
–Bryon Smith, Technology Support Associate
The pandemic quarantine has decimated all live cultural and sporting events for us, and our community. We took 50% of the funds we received from ticket refunds and donated them to local museums and musicians’ funds, and put the rest in our savings account. This has not only saved us a great deal of money, but allowed us to help others who have been impacted. We look forward to using the money we put away to attend events in 2021 and beyond.
–Sara Hollister, Recruiting Manager
Get creative with your money-saving journey
As you can see from our team members, creativity, commitment, and even generosity to those less fortunate can help you manage money during the pandemic in a way that could benefit you and your family far into the future. If you take a closer look at your budget, income, and lifestyle you may find new ways to control expenses, and stretch your money as much as possible. After all, you work hard for your money and deserve the chance to make it work for you.
Save money and get out of debt during the pandemic era
If you’re ready to take control of your finances, get out of debt, and set yourself up for a financially secure future, our free guide may help. It’s full of the information and tools you can use to improve your finances as you learn to navigate your “new normal.” Get started today by downloading our free How to Manage Debt Guide right here.
Learn More
Back-to-School Budget 2020: How to Save Money This Year (Freedom Debt Relief)
Learn a New Language During Quarantine: The Language of Money (Freedom Debt Relief)
How to Manage Money Better without Sacrificing Joy (Freedom Debt Relief)
Protecting Your Finances During the Coronavirus Pandemic (Money Under 30)
Insights into debt relief demographics
We looked at a sample of data from Freedom Debt Relief of people seeking debt relief during September 2025. The data provides insights about key characteristics of debt relief seekers.
Credit utilization and debt relief
How are people using their credit before seeking help? Credit utilization measures how much of a credit line is being used. For example, if you have a credit line of $10,000 and your balance is $3,000, that is a credit utilization of 30%. High credit utilization often signals financial stress. We have looked at people who are seeking debt relief and their credit utilization. (Low credit utilization is 30% or less, medium is between 31% and 50%, high is between 51% and 75%, very high is between 76% to 100%, and over-utilized over 100%). In September 2025, people seeking debt relief had an average of 73% credit utilization.
Here are some interesting numbers:
| Credit utilization bucket | Percent of debt relief seekers |
|---|---|
| Over utilized | 30% |
| Very high | 32% |
| High | 19% |
| Medium | 10% |
| Low | 9% |
The statistics refer to people who had a credit card balance greater than $0.
You don't have to have high credit utilization to look for a debt relief solution. There are a number of solutions for people, whether they have maxed out their credit cards or still have a significant part available.
Personal loan balances – average debt by selected states
Personal loans are one type of installment loans. Generally you borrow at a fixed rate with a fixed monthly payment.
In September 2025, 44% of the debt relief seekers had a personal loan. The average personal loan was $10,718, and the average monthly payment was $362.
Here's a quick look at the top five states by average personal loan balance.
| State | % with personal loan | Avg personal loan balance | Average personal loan original amount | Avg personal loan monthly payment |
|---|---|---|---|---|
| Massachusetts | 42% | $14,653 | $21,431 | $474 |
| Connecticut | 44% | $13,546 | $21,163 | $475 |
| New York | 37% | $13,499 | $20,464 | $447 |
| New Hampshire | 49% | $13,206 | $18,625 | $410 |
| Minnesota | 44% | $12,944 | $18,836 | $470 |
Personal loans are an important financial tool. You can use them for debt consolidation. You can also use them to make large purchases, do home improvements, or for other purposes.
Tackle Financial Challenges
Don’t let debt overwhelm you. Learn more about debt relief options. They can help you tackle your financial challenges. This is true whether you have high credit card balances or many tradelines. Start your path to recovery with the first step.
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Author Information
Written by
Anna Baluch
Anna Baluch is a freelance writer who enjoys writing about all personal finance topics. She’s particularly interested in mortgages, retirement, insurance, and investing.
