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FAI in the News: Financial Education Programs Won't Address Widening Literacy Gaps in the US

FAI’s webinar on the Financial and Literacy Gap was cited in an article published by Yahoo Money on September 11, 2022. The article by Kerry Hannon explored the reasons for a steady decline in financial and digital literacy in the United States over the last 12 years, and spoke to experts about measures to counter the decline.

The article cited Lauren Willis, Professor of Law at Loyola University, who, in FAI’s webinar, said that while financial and digital literacy programs are an attractive way to address literacy gaps, “there's no credible evidence that these financial education programs actually give people the tools that they need to protect themselves or to make optimal choices for their own situation and values.”

Tim Ogden, FAI’s Managing Director, argued that financial literacy programs cannot make up for a lack of affordable housing, medical care, and decent jobs.

Making good financial choices “mostly comes from having enough money that good financial choices are possible, especially having enough money to make a few mistakes—this is the way all of us really learn how to manage our finances, not by taking a class.”

Read the rest of the article at Yahoo Money here.

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