Early Investors | What’s The Problem?

What’s The Problem?

In a 2003 study of Ohio State students, University administrators found that they lost more students to credit card debt than to academic failure (Source: Utah Mentor, Digital News, 2003)

80% of parents believed that schools provided classes on money management and budgeting (Source: Chamberlin, George. “Kids Need to Learn About Money, Too.” North Country Times, October 2003, 2004)

Ninety-four percent of youth cite their parents as primary source of financial education (Source: Youth and Money Survey, 1999)

41 percent of U.S. adults, or more than 92 million people living in America, gave themselves a grade of C, D, or F on their knowledge of personal finance (Source: National Foundation for Credit Counseling, 2009 Financial Literacy Survey, April 2009)

Young Americans now have the second highest rate of bankruptcy, just after those aged 35 to 44. The rate among 25- to 34-year-olds increased between 1991 and 2001, indicating that this generation is more likely to file bankruptcy as young adults than were young boomers at the same age (Source: “Generation Broke: Growth of Debt Among Young Americans”)

Students and parents agree that college students are not well prepared to deal with the financial challenges that lie ahead. Less than one-quarter of students or about twenty four percent and only twenty percent of parents say students are prepared to deal with the financial challenges that await them in the real world. More than three-quarters of student, about seventy six percent, report that they wish they had more help preparing for their personal finances. (The Hartford Financial Services Group, Inc.)