Survey: Americans' Personal Finance Skills
Earn Them A Big Lump of Coal in Their Stockings
A Holiday
Economic Literacy Survey Shows That Many Americans Are Short on Basic Personal
Finance and Math Skills
WASHINGTON DC - Today the Center for Economic and
Entrepreneurial Literacy (CEEL) released the results of the holiday economic
literacy survey, which shows that Americans lack basic math and personal
finance skills-especially as those skills relate to being financially
responsible over the holidays. The national survey conducted this month
shows that an overwhelming number of Americans are unable to answer basic
financial literacy questions.
The survey showed:
65%
answered incorrectly when asked how many reindeer would remain if Santa had to
lay off 25% of his 8 reindeer because of the bad economy;
75% of people thought that it would take 15 years or less to pay off $5,000 in
Christmas presents if making the minimum payment on their credit card. In
reality, it would take 46 years to pay off those holiday expenses!
1 in 3 people did not know how much money a person would be spending on gifts
if they spent 1% of their 50,000 per year salary;
16% of respondents admitted that they do not expect to have their holiday debt
paid off by March 1st, 2009.
"Santa would be well
advised to leave "Personal Finance for Dummies" in stockings across the
country," said James Bowers, managing director at the Center for Economic
and Entrepreneurial Literacy. "Many Americans don't even have the basic math
skills required to balance their checkbook, forget about understanding
complicated mortgages or credit card statements."
"This holiday season, it is
important that all Americans redouble their efforts to ensure that they have
the knowledge to make the best financial choices for their families and their
budgets."
To see CEEL's press release recommending Personal Finance for Dummies, click here.