Here are some survey results that provide a good reminder of how much work we have left to do to create a financially literate populace. Why do we force them to learn these lessons from the “school of hard knocks” instead of educating them in high school or college?

From LendEDU 2016 survey:

• 43 percent of students surveyed could not name one major difference between a credit and debit card
• 23 percent of students surveyed could not name one major difference between a checking account and a savings account
• 79 percent of students surveyed did not know the difference between a traditional bank and a credit union
• 68 percent of students surveyed did not know what a 401k or IRA is used for
• 58 percent of students surveyed were not working to build good credit
• 43 percent of students surveyed believed that checking their credit report would hurt their credit score

About the Author

Tim Ranzetta

Tim's saving habits started at seven when a neighbor with a broken hip gave him a dog walking job. Her recovery, which took almost a year, resulted in Tim getting to know the bank tellers quite well (and accumulating a savings account balance of over $300!). His recent entrepreneurial adventures have included driving a shredding truck, analyzing executive compensation packages for Fortune 500 companies and helping families make better college financing decisions. After volunteering in 2010 to create and teach a personal finance program at Eastside College Prep in East Palo Alto, Tim saw firsthand the impact of an engaging and activity-based curriculum, which inspired him to start a new non-profit, Next Gen Personal Finance.