Financial Literacy in America: Are We Doing Enough?
Back in the day, it was considered rude to discuss money, politics or religion. Fast forward to the 21st century and it appears that politics and religion are much more acceptable topics of conversation, but people remain hesitant to discuss money, particularly their own.
As a nation, are we doing ourselves a favor by keeping the topic of money off-limits? Dodging discussions about politics and religion may keep us safe from social turmoil, but does avoiding money talk secure you from financial disaster?
Over the past few years, as a nation and individually, we have begun to embrace open conversations about financial literacy, and the importance that financial education holds in the United States, but the pace of acceptance is far too slow. As a result, our financial health isn't as robust as it should be, and our children aren't receiving the financial knowledge they need to successfully manage their money as adults.
Even though some schools are offering money management or financial education courses, a significant number of high school students continue to lack the basic understanding of general finances. This lack of knowledge includes concepts related to everyday financial decisions such as price comparison, savings rates, credit card terms and managing checking accounts.
The severity of the issue captured Congress' attention, leading them to designate April as Financial Literacy Month. Although April will bring personal finance to the attention of many, it is imperative that financial awareness not be relegated to only one month of the year. A continued emphasis on learning and implementing solid financial skills is critical to the financial well-being of Americans. Placing importance on financial literacy 365 days each year will not only help our kids, but will be beneficial to all Americans.
The anemic savings rates juxtaposed with Americans beginning to spend again demands an increased emphasis on making responsible financial decisions. Without financial education, consumers are at risk of repeating the financial mistakes of the past.
Now is the time to take action, and the place to start is by initiating a conversation about finances with your friends and family. And remember, discussing money does not necessarily mean disclosing your personal financial situation, or sharing personal information.
Living in an information-based society, it can sometimes be daunting to filter through all the conflicting opinions surrounding personal finance, and in this economic environment, no one can afford a wrong financial decision. Therefore, consumers should do their homework before engaging with an advisor or agency for help. Start by researching the Better Business Bureau and the State Attorney General's office for unresolved complaints.
Reach out to friends and family for recommendations for a local nonprofit financial counseling agency. These organizations can provide financial literacy education, and create a personal, customized solution to get your finances on track.
Don't wait until it's too late - there's no shame in getting into financial trouble, but it is a shame if you do nothing about it.
[ Return to Front Page ]
|
|
|
|
Workshops
April 16
Homebuyers Orientation 101
April 17
Identity Theft
April 21
Money in Motion (Spanish)
Click here for details on financial literacy workshops and events
Connect
Contact
Consumer Credit Counseling Service
1920 Old Tustin Ave.
Santa Ana, CA 92705
map & directions
P: (800) 213-2227
F: (714) 245-1680
E: cccsoc@cccsoc.org
|
