Study Findings and Additional Resources
DID YOU KNOW? Seven out of 10 college students will engage in at least one "risky" financial behavior, such as maxing out credit card limits or not paying bills on time.
Many college graduates will enter young adulthood poised for success. Some may stumble at first, and still others will fall. What sets them on different pathways?
To answer this question, University of Arizona started a landmark longitudinal research study in 2008 to look at the connections between financial success and well-being in a diverse group of first-year college students: Arizona Pathways to Life Success for University Students (APLUS). And in 2009, at the height of the economic crisis Wave 1.5 examined how young adults develop financial attitudes and behaviors during this economic downturn. Results of this study will be released in February 2010.
WAVE 1: Cultivating Positive Financial Attitudes and Behaviors for Healthy Adulthood
Wave 1 was completed in May 2009; findings highlighted college students’ financial behaviors:
· There are three factors that create an effective solution to avoiding financial problems when students start college
1. Parental involvement (has the most influence)
2. Education (formal financial education in high school)
3. Work experience (part-time job)
· Seventy-three percent (73%) reported at least one risky financial behavior within the preceding six months:
o Not paying bills on time
o Not making full payments on credit cards
o Maxing out credit cards
o Borrowing from credit cards
o Taking out payday loans
· On average, students surveyed received a failing grade (59 percent) when tested on financial literacy.
Read more on Wave 1:
Final Report
Press Release
Resources for Parents
If this research inspires you to teach your kids about money, here are some tips to help you along...
How to Teach Your Kids About Money
Resources for Educators
University and College Administrators or Professors:
Do you work at a university or college and want to offer your students financial education? Maybe lack of time or resources is stopping you. NEFE can help with its noncommercial, unbiased CashCourse, a Web-based financial education resources designed just for students. This resource offers great content for students while making it easy for universities since NEFE updates and maintains the site, as well as provide promotional materials and workshop kits. Learn more at www.CashCourse.org.
High School Teachers: You can help, too!
The NEFE High School Financial Planning Program(R) (HSFPP) makes it easy for teachers to teach financial education with its free seven-unit student manual, instructor’s guide, and a dynamic suite of Web pages that offer a large, continually growing collection of resources, articles, and financial tools for teachers, students, and parents. Check it out at http://hsfpp.nefe.org.